Evergreen Inc. expects to manufacture 4,000 refrigerators during the last quarter of the current year. The company uses activity-based costing to determine the product costs. The manufacturing activities and associated information is provided as follows:

Overhead activities	Overhead costs assigned ($)	Number of cost driver
Material handling	120,000	240,000 Parts
Devising	400,000	50,000 Machine hours (MH)
Assembling	168,000	240,000 Parts
Finishing	120,000	2,000 Finishing hours (FH)

Each refrigerator uses 30 parts and requires 5 machine hours and 1 finishing hour during the production process. The direct material costs and direct labor costs required for each refrigerator is $500 and $90, respectively.

The amount of material handling and assembling costs allocated to each refrigerator would be: (Round your answer to two decimal points)

Answer

A: $18.00 per unit

B: $21.00 per unit

C: $15.00 per unit

D: $36.00 per unit