Last Year, Ella Company Produced 10,000 Units and Sold 9,000

Last year, Ella Company produced 10,000 units and sold 9,000 units at a price of $9 per unit. Costs for last year were as follows:
Fixed factory overhead is applied on the basis of expected production. Last year, Ella expected to produce 10,000 units.
$$\begin{array} { l r } \text { Direct materials } & \$ 10,000 \\\text { Direct labour } & 15,000 \\\text { Variable factory overhead } & 5,000 \\\text { Fixed factory overhead } & 20,000 \\\text { Variable selling expense } & 7,200 \\\text { Fixed selling expense } & 5,000 \\\text { Fixed administrative expense } & 12,000\end{array}$$
-Refer to the Figure.Assume that beginning inventory was zero.What is the value of ending inventory under variable costing?

A) $2,000
B) $3,000
C) $3,720
D) $5,000