Trez Company began operations this year. During this first year, the company produced 100,000 units and sold 80,000 units. The absorption costing income statement for this year follows. Sales (80,000 unitsx $45 per unit) Cost of goods sold 3,600,000 Beginning inventory Cost of goods manufactured (100,000 units x $25 per unit) 2,500,000 Cost of good available for sale Ending inventory (20,000 x $25) 2,500,000 500,000 Cost of goods sold 2,000,000