Cull Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $462,000, variable manufacturing overhead of $2.20 per machine-hour, and 60,000 machine-hours. The company has provided the following data concerning Job X455 which was recently completed:Number of units in the job20Total machine-hours80Direct materials$940Direct labor cost$2,240The unit product cost for Job X455 is closest to: (Round your intermediate calculations to 2 decimal places.)
A. $159.00
B. $198.60
C. $86.60
D. $49.65
Answer: B
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