Cornerstones of Managerial Accounting 4th Edition by Maryanne Mowen, Don Hansen, Dan Heitger

Exercise 77

Wilson Company has a predetermined overhead rate of $5 per direct labor hour. The job-order cost sheet for Job 145 shows 500 direct labor hours costing $10,000 and materials requisitions totaling $7,500. Job 145 had 1,000 units completed and transferred to Finished Goods. What is the cost per unit for Job 145
A) $20
B) $17.50
C) $25
D) $30
E) $22,500