Jacky Ma Ltd sells a single product called Alibaba. During 2020, 10,000 units were produced and 9,500 units were sold. There was no work-in-process inventory on 31 December 2020, that is the financial year-end. The company uses an actual cost system for product costing, and actual costs for the year were as follows:

Details	$
Unit selling price	70.00
Unit manufacturing variable cost	25.00
Unit selling and distribution variable cost	5.00
Total manufacturing overheads	100,000
Total selling and distribution overheads	15,500

Determine the cost per unit for the closing inventory using absorption costing

Group of answer choices

$35

$27.50

$38

$40