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Cloer Company, which has only one product, has provided the following data concerning its most recent month of operations: Selling price $95 Units in beginning inventory 0 Units produced 8,900 Units sold 8,500 Units in ending inventory 400 Variable costs per unit: Direct materials $10 Direct labor $48 Variable manufacturing overhead $5 Variable selling and administrative $11 Fixed costs: Fixed manufacturing overhead $106,800 Fixed selling and administrative $68,000 The total gross margin for the month under the absorption costing approach is:
a.) $200,000
b.) $170,000
c.)$8,500
d.) $178,500
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