2 Kunkel Company makes two products and uses a conventional costing system in which a single plantwide predetermined overhead rate is computed based on direct labor-hours. Data for the two products for the upcoming year follow 10 Mercons Murcon Direct naterials cont pec unit pirect labor cost per unit Direct labar-hours per unit Munber of unita produced points 9.00 $ 15.00 7,00 s 17.00 0.40 4.80 4,000 8,DDD These products are customized to some degree for specific customers Required: 1 The company's manufacturing overhead costs for the year are expected to be $1600.000 Using the company's conventional costing system, campute the unit product costs for thee two products 2. Management is considering an activity-based costing system in which half of the overhead would continue to be alocated on thes basis of direct labor-hours and haif would be allocated on the basis of engineering design time, This time is expected to be distributed as fallows during the upcoming year Mercon 8,000 Maroon R, 000 Total 16,000 Engineering design tie (in hours Compute the unit product costs for the two praducts using the proposed ABC system. (For all requirements, do not round intermediate calculations. Round your final answers to 2 decimal places.) Answer is complete but not entirely correct. Mercon Wurcon s 218.00 Unit product oost under conventional system 40.00 1 S 124.00 |2. Unt product cost under ABC system 74.00