Figure 11-6
Peach, SA The Following Are Two of the Jobs Completed During the and Cost

Figure 11-6
Peach, SA., has identified the following overhead costs and cost drivers for next year: $$\begin{array} { l c l l } \text { Overhead Item } & \text { Expected Cost } & \multicolumn{1}{c} { \text { Cost Driver } } & \text { Expected Quantity } \\\text { Setup costs } & £ 200,000 & \text { Number of setups } & 500 \\\text { Ordering costs } & 80,000 & \text { Number of orders } & 3,200 \\\text { Maintenance } & 400,000 & \text { Machine hours } & 4,000 \\\text { Power } & 40,000 & \text { Kilowatt hours } & 80,000\end{array}$$ The following are two of the jobs completed during the year: $\begin{array}{lll}&\underline{\text { Job } 400}&\underline{\text { Job } 401}\\\text { Direct materials } & £ 750 & £ 2,000 \\\text { Direct labour } & £ 700 & £ 2,400 \\\text { Units completed } & 100 & 160 \\\text { Direct labour hours } & 50 & 80 \\\text { Number of setups } & 1 & 4 \\\text { Number of orders } & 4 & 5 \\\text { Machine hours } & 20 & 25 \\\text { Kilowatt hours } & 30 & 50\end{array}$

The company's normal activity is 4,000 direct labour hours.
-Refer to Figure 11-6. If Peach, SA., used direct labour hours to assign overhead, the unit cost for Job 401 would be

A) £117.50.
B) £111.88.
C) £105.00.
D) £102.50.