Kepple Manufacturing currently uses a traditional costing system. The company allocates overhead to its two products, Zips and Dees, using a predetermined manufacturing overhead rate based on direct labor hours. Here is data related to the company's two products:

Zips Dees
Direct materials per unit $ 140.00 $ 100.00
Direct labor per unit $ 55.00 $ 50.00
Direct labor hours per unit 2.0 1.5
Annual production 25,000 40,000
Information about the company's estimated manufacturing overhead for the year follows:

Activities
Activity measures Estimated overhead cost
Supervision and maintenance Direct labor hours $2,200,000
Batch costs Number of batches $ 212,500
Engineering changes Number of engineering hours $ 180,000
Total estimated manufacturing overhead for the year $2,592,500
Total estimated direct labor hours for the company for the year are 110,000 hours.

The company is evaluating whether it should use an activity-based costing system in place of its traditional costing system. Additional information about production needed for the activity-based costing system follows:

Expected activity
Zips Dees Total
Supervision and maintenance 50,000 60,000 110,000
Batch costs 2,000 500 2,500
Engineering changes 1,800 1,200 3,000

The amount of manufacturing overhead that would be allocated to one unit of Zips using an activity-based costing system would be closest to:

Select one:

a. $32.86.

b. $11.95.

c. $51.12.

d. $64.81.