Figure 8-8

Multiple Choice

Figure 8-8. Steele Corporation has the following information for January,February,and March 2011:
Production costs per unit (based on 10,000 units) are as follows:
There were no beginning inventories for January 2011,and all units were sold for $50.Costs are stable over the three months.
Refer to Figure 8-8.What is the January ending inventory for Steele Corporation using the variable costing method?

A) $260,000
B) $78,000
C) $108,000
D) $90,000