Jaunkas Corp. manufactures mid-fi and hi-fi stereo receivers. The following data have been summarized:

Indirect manufacturing cost information includes the following:

The company plans to manufacture 200 units of the mid-fi receivers and 250 units of the hi-fi receivers. Calculate the product cost per unit for both products using activity- basedcosting.

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Mid-Fl $ 400 400 Hi-Fi Direct materials cost per unit Direct labor cost per unit Indirect manufacturing cost per unit $ 1,300 300 Predetermined Overhead Allocation Rate Activity Mid-Fi Hi-Fi $1,700 per setup 39 setups 39 setups Setup Inspections Machine maintenance $ 400 per inspection hour 45 inspection hours 5 inspection hours 10 per machine hour 1,900 machine hours 1,200 machine hours