Blossom's Recording Studio rents studio time to musicians in two-hour blocks. Each session includes the use of the studio facilities, a digital recording of the performance, and a professional music producer/mixer. Anticipated annual volume is 1,400 sessions. The company has invested $2,138,640 in the studio and expects a return on investment of 25%. Budgeted costs for the coming year are as follows: (a) Direct materials (tapes, CDs, etc.) Direct labour Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Determine the total cost per session. Total cost per session $ Per Session Total $25. 410 60 $1,344,000 35 35 728,000