Question: First Class, Inc., expects to sell 26,000 pool cues for $13.00 each. Direct materials costs are $3.00, direct manufacturing labor is $5.00, and manufacturing overhead

First Class, Inc., expects to sell 26,000 pool cues for $13.00 each. Direct materials costs are $3.00, direct manufacturing labor is $5.00, and manufacturing overhead is $0.80

per pool cue. The following inventory levels apply to 2019:

Beginning inventory

Ending inventory

Direct materials

27,000 units

27,000 units

Workinprocess

inventory

0 units

0 units

Finished goods inventory

1,800 units

3,400 units

On the 2019 budgeted income statement, what amount will be reported for sales?

A. $351,000 B. $371,800 C. $338,000 D. $358,800

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