Andretti Company has a single product called a Dak. The company normally produces and sells 88,000 Daks each year at a selling price of $56 per unit. The companys unit costs at this level of activity are given below:

Direct materials	$	6.50
Direct labor		12.00
Variable manufacturing overhead		2.90
Fixed manufacturing overhead		8.00	($704,000 total)
Variable selling expenses		3.70
Fixed selling expenses		4.00	($352,000 total)
Total cost per unit	$	37.10