Answer (B) is correct . Under the absorption method, unit cost is $30 ($12 direct materials + $9 direct labor + $4 variable overhead + $5 fixed overhead). Given beginning
Answer (A) is incorrect because Ending inventory was $1,200,000. Answer (C) is incorrect because Ending inventory was $1,200,000. Answer (D) is incorrect because Ending inventory was $1,200,000.
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