A Company Has the Following Information for Its First Month

A company has the following information for its first month of operations: $\begin{array}{ll}\text { R aw materials used } & \$ 25,000 \\\text { S ales }(\$ 65 \text { per unit) } & \$ 78,000 \\\text { Direct lab or } & \$ 42,000 \\\text { V ariable factory overhead } & \$ 17,000 \\\text { Fixed factory overhead } & \text { unknown }\\\text { Variable selling and administrative } & \$ 3,000 \\\text { Fixed selling and administrative } & \$ 5,000 \\\text { Gross profit } & \$ 30,000 \\\text { Contribution margin } & \text { unknown }\end{array}$ The company sold half of the units it produced. _ is the cost of goods sold under absorption costing.

A) $30,000
B) $42,000
C) $48,000
D) $78,000