Traditional and Activity-based Costing. Use the information in Exhibit 12–14 to answer these questions.

a. What is the per unit cost of an initial, regular, and intensive visit using the conventional and ABC approaches?

b. What is the total cost of initial, regular, and intensive visits using the conventional and ABC approaches?

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Exhibit 12-14 Data for Clinic D Basic Data and Calculation of Unit Costs Using a Conventional Approach Total Cost by Visit Type Basic Data A B C D Initial Regular Intensive [Given] [Given] [Given] Total [A+B+C] 1 Number of Visits 3,000 7,500 4,500 15,000 2 Direct Materials (etc.) $5,000 $10,000 $35,000 $50,000 3 Direct Labor $52,500 $70,000 $227,500 $350,000 4 Estimated Overhead [Total is a Given] $125,000 5 Cost/Visit: Conventional Method