Pazzo's Pizza Utilizes Activity-Based Costing (ABC) to Account for Its

Multiple Choice

Pazzo's Pizza utilizes Activity-Based Costing (ABC) to account for its Manufacturing Overhead (MOH) costs, and they have determined that they have three key activities: Property tax ($88.77 per square foot) , Floor supervisor wages ($18.00 per hour) , and Cleaning ($8.98 per hour) . Pazzo's Pizza anticipates that it will sell the following quantities of three different kinds of pizza: Cheese, 68,392 pizzas; Pepperoni, 49,708 pizzas; and Veggie, 26,909 pizzas. Each pizza will need to use the following resources:
Assuming that their estimates are final, what is the total cost per unit for the veggie pizzas? (Do not round intermediate calculations.)

A) $2.18
B) $3.21
C) $3.68
D) $4.02