Hadley, Inc. manufactures a product that uses $16 in direct materials and $11 in direct labor per unit. Under the traditional costing system Hadley uses, manufacturing overhead applied to each unit is $22. However, Hadley is considering switching to an ABC system. Under the ABC system, the total activity cost would be $33. What is the total manufacturing cost per unit for Hadley under the ABC system?

$49

$27

$60

$33