1. A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:

				Budgeted Activity
Activity Cost Pool	Budgeted Cost			Product A			Product B
Activity 1	$	103,000			4,600			4,400
Activity 2	$	78,000			6,100			7,100
Activity 3	$	125,000			4,100			6,850

Annual production and sales level of Product A is 35,900 units, and the annual production and sales level of Product B is 71,150 units. What is the approximate overhead cost per unit of Product A under activity-based costing?

2. The following information is available for a company's utility cost for operating its machines over the last four months.

Month	Machine hours		Utility cost
January	1,100		$	6,650
February	2,000		$	7,300
March	2,800		$	10,100
April	800		$	4,500

Using the high-low method, the estimated total fixed cost for utilities is: