Winthrop Manufacturing produces a product that sells for $50.00. Fixed costs are $260,000 and variable costs are $24.00 per unit. Winthrop can buy a new production machine that will increase fixed costs by $11,400 per year, but will decrease variable costs by $3.50 per unit Compute the contribution margin per unit if the machine is purchased.

A. $22.50.

B. $26.00.

C. $29.50.

D. $28.50.

E. $27.50.