27.2 Additional Exercise 1 A company manufactures two products, Alpha and Gamma Output and cost das for Apell 2014 are as follows Alpha Gamma Direct material cost per unit Direct labour hours per unit Direct labour cost per hour Production and sales $10 2 houn 510 100 515 3 hours 520 600 Production overheads are $ 200 000 and details of the two products are as follows: Activity Total Cost 5 Cost driver Product Alpha Product Gamma Setting up Machining Order handling Quality control 25 000 100 000 50 000 25 000 200 000 Number of setups Machine hours Number of orders Number of inspections 2 200 1 3 800 4 5 3 Required Calculate the costs, in total and per unit for product Alpha and product Gamma using Activity Based Costing 125