Sheridan Manufacturing produces towels to be sold as souvenirs at sporting events throughout the world. Assume that units produced equalled units sold in 2022. The companys variable-costing income statement and other data are as follows:

SHERIDANMANUFACTURING Income Statement Year Ended December 31, 2022 Variable Costing
Sales (250,000 units)				$500,000
Variable cost of goods sold		$212,500
Variable selling expenses		20,000
Variable administrative expenses		30,000		262,500
Contribution margin				237,500
Fixed manufacturing overhead		87,500
Fixed selling expenses		37,000
Fixed administrative expenses		41,000		165,500
Net income				$72,000

Unit selling price			$2.00
Variable costs per unit
	Direct materials		0.20
	Direct labour		0.30
	Variable overhead		0.35
	Variable selling expenses		0.08
	Variable administrative expenses		0.12

(a)

Calculate the manufacturing cost per towel under variable costing. (Round per unit calculations and final answer to 2 decimal places, e.g. 15.25.)

Manufacturing cost

$enter the manufacturing cost per towel in dollars rounded to 2 decimal places

per towel