Stars Company Reported the Following Information About the Production and Sales

Multiple Choice

Stars Company reported the following information about the production and sales of its only product during its first month of operations: $\begin{array}{lr}\text { Sales } \$ 225 \text { per unit) } & \$ 315,000 \\\text { Direct materials used } & \$ 160,000 \\\text { Direct labor } & \$ 100,000 \\\text { Variable factory overhead } & \$ 60,000 \\\text { Fixed factory overhead } & \$ 80,000 \\\text { Variable selling and admiristrative expenses } & \$ 20,000 \\\text { Fixed selling and administrative expenses } & \$ 30,000\\\\\text { Ending inventories: }\\\\\text { Direct materials } & -0- \\\text { WIP } & -0- \\\text { Finished goods } & 600 \text { units }\end{array}$ The cost of producing one unit of product using absorption costing is_____.

A) $160.00
B) $130.00
C) $225.00
D) $200.00