Answer: $57,000
Step-by-step explanation:
Given that,
Beginning finished goods inventory in units = 0
Units produced = 7,000
Units sold = 5,100
Sales = $663,000
Materials cost = $140,000
Variable conversion cost used = $70,000
Fixed manufacturing cost = $490,000
Indirect operating costs (fixed) = $102,000
Total Variable cost of units produced = Materials cost + Variable conversion cost used
= $140,000 + $70,000
= $210,000

=

= $30
Units in ending inventory = Units produced - Units sold
= 7,000 - 5,100
= 1,900
Value of Variable costing ending inventory = Units in ending inventory × Variable cost per unit
= 1,900 × $30
= $57,000