Use the Following Information for Items

question 33

Multiple Choice

Use the following information for items
Obama Company sells its product for $25 per unit.During 2020, it produced 20,000 units and sold 15,000 units (there was no beginning inventory) .Costs per unit are: direct materials $5, direct labour $4, and variable overhead $3.Fixed costs are: $300,000 manufacturing overhead, and $50,000 selling and administrative expenses.
-The per-unit manufacturing cost under absorption costing is

• A)$12.
• B)$27.
• C)$29.50.
• D)$32.

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