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Lenat’s contribution income statement utilizing variable costing appears below: Lenat Company Income Statement For the Year ended December 31, 2010 Sales ($28/unit) $,120,000 Less variable costs: Cost of goods sold 560,000 Selling & administrative costs 96,000 656,000 Contribution margin 464,000 Less Fixed costs: Manufacturing overhead 80,000 Selling & adminstrative costs 90,000 170,000 Profit $294,000 Lenat Company produced 50,000 units during the year. Variable costs per unit and fixed production costs have remained constant the entire year. There were no beginning inventories. How much is the dollar value of the ending inventory using full costing? $140,000 $160,000 $156,000 $128,000
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