Potter Company has the following information for the current year:

Beginning fixed manufacturing overhead in inventory $95,000

Fixed manufacturing overhead in production 375,000 Ending fixed manufacturing overhead in inventory 25,000

Beginning variable manufacturing overhead in inventory $10,000

Variable manufacturing overhead in production 50,000 Ending variable manufacturing overhead in inventory 15,000

What would be the estimated cost per unit if Potter Company expects to sell 2,000 units next year?

How is the answer of $500 calculated?