59. A review of a company’s inventory records for the year indicates that the following costs were
incurred:
Fixed production overhead: $500,000
Direct material and direct labor: 300,000
Storage costs incurred during production: 25,000
Abnormal waste costs: 30,000
If the company operated at full capacity during the year, the total capitalized inventory cost is
closest to:
A. $800,000.
B. $825,000.
C. $855,000.
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