Pima, Inc. manufactures calculators that sell for $70 each. Each calculator uses $25 in direct materials and $15 in direct labor per unit. Pima has two activities: Machining, which is applied at the rate of $4 per machine hour, and Finishing, which is applied at the rate of $20 per batch. This month, Pima made 500 calculators, using 1,250 machine hours in 50 batches. What is the gross profit for one calculator?

Multiple Choice

• $18

• $45

• $35

• $30