As the controller of Lynbrook, Inc., you have been asked to evaluate the costs of two of the products produced by the company using Activity Based Costing. You were given the following data to be used in your evaluation. Direct materials.. Direct labor hours. Machine hours Batches. Product A $15 per unit 0.3 DLH per unit 0.1 MH per unit 125 batches 10,000 units Product B $24 per unit 1.6 DLH per unit 1.2 MH per unit 225 batches 2,000 units Volume. Engineering modifications 12 modifications Number of customers.. Market price... 500 customers $30 per unit 58 modifications 400 customers $120 per unit The company's direct labor rate is $20 per direct labor hour (DLH). Additional information follows. Costs Driver Indirect manufacturing Engineering support $24,500 Engineering modifications Electricity.. 34,000 Machine hours Setup costs 52,500 Batches Nonmanufacturing Customer service.. 81,000 Number of customers Required 1. Compute the manufacturing cost per unit using the plantwide overhead rate based on direct labor hours. What is the gross profit per unit? 2. How much gross profit is generated by each customer of Product A using the plantwide overhead rate? How much gross profit is generated by each customer of Product B using the plantwide overhead rate? 3. Determine the manufacturing cost per unit of each product line using ABC. What is the gross profit per unit? 4. How much gross profit is generated by each customer of Product A using ABC? How much gross profit is generated by each customer of Product B using ABC? 5. Which method of product costing gives better information to managers of this company? Explain why.