In 2015, AMK Plumbing Supplies planned the following:

Factory overhead costs: $180,000

Direct labour costs (15,000 hours at $8.00 per hour): $120,000

Machine hours: 48,000

Direct material costs: $108,000

The predetermined overhead rate is based on direct labour hours and planned production during 2015 is 12,000 units. The estimated cost per unit produced is:

$24.00.

$34.00.

$44.00.

$26.00.