1 Vernon Electronics produces video games in three market categories: commercial, home, and miniature. Vernon has traditionally allocated overhead costs to the three products using the companywide allocation base of direct labor hours. The company recently implemented an ABC system when it installed computer-controlled assembly stations that rendered the traditional costing system ineffective. In implementing the ABC system, the company identified the following activity cost pools and cost drivers: 16.66 points Skipped Category Unit Total Pooled Cost $862,400 eBook Batch 438,600 Types of costs Cost Driver Indirect labor wages, supplies, Machine hours factory utilities, machine maintenance Materials handling, inventory storage, Number of production labor for setups, packaging, labeling orders and shipping, scheduling Research and development Time spent by research department Rent, general utilities, maintenance, Square footage facility depreciation, admin. salaries Print Product 211,900 Facility 495,600 Reference Additional data for each of the product lines follow: Total 19,500 Commercial Home Miniature Direct materials cost $ 36.00/unit $ 24.60/unit $ 30.60/unit Direct labor cost $ 13.50/hour $ 13.50/hour $ 18.80/hour Number of labor hours 5,300 12,500 1,700 Number of machine hours 20,000 46,000 22,000 Number of 270 production orders 2,000 530 Research and 12% development time 20% 68% Number of units 13,000 41,000 12,000 Square footage 16,000 53,000 15,000 88,000 2,800 100% 66,000 84,000 Required a. Determine the total cost and cost per unit for each product line, assuming that overhead costs are allocated to each product line using direct labor hours as a companywide allocation base. Also determine the combined cost of all three product lines. b. Determine the total cost and cost per unit for each product line, assuming that an ABC system is used to allocate overhead costs. Determine the combined cost of all three product lines. (For all requirements, round intermediate calculations for allocation rates to 2 decimal places and all other calculations to the nearest whole dollar. Round "Cost per Unit" to 2 decimal places. Round your answers for "Total Cost" to the nearest whole dollar amount.) Total Cost Cost per Unit Type of Product a. Commercial Home Miniature Combined total b. Commercial Home Miniature Combined total $ 0 $ 0