Razer is the manufacturer of headphones. The Razer Nari Essential, a budget-friendly, wireless gaming headset with boasting a sturdy and comfortable design with an excellent mic, 7.1 channels sound and user adjustable EQ, sells at the suggested retail price of about $70.00. Variable costs involved in producing the headphones are $26.25. Fixed costs are estimated at $4,375. Razer, who sells direct to retailers, intends to give retailers a margin of 40 percent off the suggested retail price. What is the contribution per unit for Razer?

a. $16.80

b. $1.75

c. $42.00

d. $43.75

e. $15.75