Sheddon Industries produces two products. The products' identified costs are as follows:  Product A Product BDirect materials$20,000 $15,000Direct labor 12,000  24,000 The company's overhead costs of $108,000 are allocated based on direct labor cost. Assume 4,000 units of product A and 5,000 units of Product B are produced. What is the cost per unit for product B? (Do not round intermediate calculations.)

A. $22.20
B. $16.80
C. $7.80
D. None of the answers are correct.


Answer: A

Business

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