Empey Manufacturing produces towels to be sold as souvenirs at sporting events throughout the world. Assume that units produced equalled units sold in 2020. The company's variable-costing income statement and other data are as follows:

EMPEY MANUFACTURING Income Statement Year Ended December 31, 2020 Variable Costing
Sales (258,000 units)				$606,300
Variable cost of goods sold		$258,000
Variable selling expenses		25,800
Variable administrative expenses		36,120		319,920
Contribution margin				286,380
Fixed manufacturing overhead		90,300
Fixed selling expenses		38,400
Fixed administrative expenses		42,600		171,300
Net income				$115,080

Unit selling price		$2.35
Variable costs per unit
	Direct material		0.25
	Direct labour		0.40
	Variable overhead		0.35
	Variable selling expenses		0.10
	Variable administrative expenses		0.14

(a)

Calculate the manufacturing cost per towel under variable costing. (Round answer to 2 decimal places, e.g. 15.25.)

Manufacturing cost

$

per towel