Answer:
b. $82.50
Explanation:
The computation of the product cost per unit under absorption costing is shown below:
= Direct labor + Direct materials + variable overhead per unit + (Total fixed overhead ÷ Units produced)
= $35 + $28 + $17 + ($105,000 ÷ 42,000)
= $35 + $28 + $17 + $2.5
= $82.50 per unit
Hence, the product cost per unit under absorption costing is $82.50 per unit
Therefore the correct option is b. $82.50
