1500 3. Frase Corp is manufacturing marbles in two types TYPEI and TYPE2. These two product and the company has the following cost structure. The company is using Activity Based Costing method Overhead Activities Activity Cost Cost driver Machine Setup $180.000 setup hours Materials Handling $ 50.000 12500 pounds of mat. Hand. Generating electric power for production $20.000 20000 kilowatt hours TYPEZ Number of units produced 10.000 20.000 Direct materials cost $20.000 $ 25.000 Direct labor cost $ 12.000 $ 20.000 Number of setup hours 120 Pounds of materials used 500 1500 Kilowatt-hours used 1000 2000 a. What is the total cost for TYPE and TYPE2 (10 points) b. What is the cost per unit for TYPE1 and TYPE2 (10 points) 100 6000 SI 7. "A small company that produces a single product has the following cost structure." Number of Units produced Number of Units sold 5000 Selling Price $20 Variable cost per unit: Direct materials S2 Direct labor S4 Variable manufacturing overhead Fixed costs per year: Fixed manufacturing overhead $30,000 Fixed selling and administrative expenses $10.000 a. What is the production cost per unit under absorption costing (5 points) b. What is the production cost per unit under variable costing (5 points) c. What is the value of ending inventory under absorption (5 points) d. What is the value of ending inventory under variable costing(5 points) c. Explain why there is a difference on the value of ending inventory (15 points)