Lorillard Corporation Has the Following Information for April, May, and June

Multiple Choice

Lorillard Corporation has the following information for April, May, and June 2014: There were no beginning inventories for April 2014, and all units were sold for $50. Costs are stable over the three months.
What is the May ending inventory cost for Lorillard Corporation using the absorption costing method?

A) $44,375.00
B) $35,625.00
C) $70,000.00
D) $210,937.50