Hoops Incorporated sells basketballs. Each basketball requires direct materials of $14, direct labor of $8, variable overhead of $8, and variable selling, general, and administrative costs of $6. The company has fixed overhead of $46,500 and fixed selling, general, and administrative costs of $53,500. The company has a target profit of $44,000. It expects to produce and sell 20,000 basketballs. The selling price per unit under the variable cost method is:

• $50.40.

• $36.00.

• $28.80.

• 54.00.

• $43.20.