A company receives a special order for 200 units that requires stamping the buyer's name on each unit, yielding an additional fixed cost of $400 to its normal costs. Without the order, the company is operating at 75% of capacity and produces 7,500 units of product at the following costs;

Directmaterials. $37,500 Directlabor. 60,000 Overhead (30% variable). 20,000 Selling expenses (60% variable). 25,000 The special order will not affect normal unit sales and will not increase fixed overhead and selling expenses. Variable selling expenses on the special order are reduced to one-half the normal amount. The price per unit necessary to earn $1,000 on this order is

(a) $14 .80,

(b) $15 .80,

(c) $19 .80, id) $20 .80, or

(e) $21 .80