Conversion cost per unit equals $7.00. Total materials costs are $80000. Equivalent units are 20000. How much is the total manufacturing cost per unit?

A) $11.00.
B) $7.00.
C) $4.00.
D) $3.00.

Conversion Cost

Costs incurred during the manufacturing process, which include direct labor and overhead costs, to convert raw materials into finished products.

Total Manufacturing Cost

Total Manufacturing Cost is the aggregate cost of direct materials, direct labor, and manufacturing overhead incurred in the production process.