(Appendix 12A)The Following Information Is Available on Browning Inc The Company Uses the Absorption Costing Approach to Cost-Plus Pricing

Multiple Choice

(Appendix 12A) The following information is available on Browning Inc.'s Product A:

$\begin{array}{lccc}\text { Number of Units Sold Each Year } & 20,000 \\\text { Selling Price per Unit } & \$ 96 \\\text { Unit Product Cost } & \$ 60 \\\text { Investment in Product A } & \$ 500,000 \\\text { Required Return on Investment } & 16 \%\end{array}$

The company uses the absorption costing approach to cost-plus pricing.Based on these data,what are the total selling,general,and administrative expenses each year?

A) $400,000.
B) $480,000.
C) $640,000.
D) $720,000.