XAB company is reviewing the behavior of its various activities. They are considering the cost of production setup. Calculate the cost per unit for setup for one run of 10,000 units if setup labour is $20 per hour and 10 hours are required to set up.

a.

$0.04 per unit

b.

$0.06 per unit

c.

$2.00 per unit

d.

$0.02 per unit

e.

$0.05 per unit