3. Davidson Equipment records show $58,500 in total cost when it manufactured 9000 chairs. Total fixed costs are $36,000. What is the variable cost per unit when Davidson manufactures 10,000 chairs? 58,500-36,000=22,500 22,500/9000=2.5 a. $4.00 b. $6.50 C. $7.00 d. $2.50