26. Cabigas Company manufactures two products Product and Product D. The company estimated it would incur 5167.140 in manufacturing overhead costs during the current period. Overhead currently is applied to the products on the basis of direct labor-hours. Data concerning the current period's operations appear below: Product Product D Estimated volume... 2,000 units 2,700 units Direct labor-hours per unit.......... 2.00 hours 0.80 hour Direct materials cost per unit..... $21.50 $24.10 Direct labor cost per unit......... $24.00 $9.60 Required: a. Compute the predetermined overhead rate under the current method, and determine the unit product cost of cach product for the current year. b. The company is considering using an activity-based costing system to compute unit product costs for extemal financial reports instead of its traditional system based on direct labor-hours. The activity-based costing system would use three activity cost pools. Data relating to these activities for the current period are given below: Estimated Overhead Expected Activity Activities Costs Product C Product D Total Machine setups....... $ 13,630 130 290 Purchase orders ....... 85,750 750 1,000 1,750 General factory....... 67.760 4,000 2,160 6,160 Total....... $167.140 160 Determine the unit product cost of each product for the current period using the activity-based costing approach