The TOTAL amount of FIXED costs deducted from revenues for computing operating income under the absorption cos

Question

During its first year of operations, Kima Corp. experienced the following:

Units manufactured 70,000

Units sold 60,000

Product costs:

Variable $10.50/unit

Fixed $315,000 in total

Selling and Administrative:

Variable $1.60/unit

Fixed $140,000 in total

The TOTAL amount of FIXED costs deducted from revenues for computing operating income under the absorption costing approach would be

a. $435,000

b. $390,000

c. $410,000

d. $455,000

Answer 1

I really have no clue but I said D becauase the fixed costs added together are 455 and would have to be deducted from any revenue... but like I said I know nothing.