Managerial Accounting: E5-16 Summit Manufacturing - net income using full costing

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Managerial Accounting
The following information relates to Exercises 5-11 through 5-18:
Summit Manufacturing, Inc. produces snow shovels. The selling price per snow shovel is $30.
Costs involved in production are:
Direct material $5
Direct labor 4
Variable manufacturing overhead 3
Total variable manufacturing costs per unit $12

Fixed manufacturing overhead per year $180,000
In addition, the company has fixed selling and administrative costs of $160,000 per year.

During the year, Summit produces 40,000 snow shovels and sells 37,000 snow shovels.
What is net income using full costing?
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