Cabat Company manufactures two products, Product C and Product D. The company estimated it would incur $190,910 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 periods operations appear below:

	Product C			Product D
Estimated volume		4,450	units			3,650	units
Direct labor-hours per unit		2.50	hours			2.10	hour
Direct materials cost per unit	$	18.10			$	31.50
Direct labor cost per unit	$	16.00			$	12.40

Requried:
a-1.	Compute the predetermined overhead rate under the current method. (Round your answer to 2 decimal places.)

a-2.	Determine the unit product cost of each product for the current year. (Do not round your intermediate calculations. Round your final answer to 2 decimal places.)

b.

The company is considering using an activity-based costing system to compute unit product costs for external 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:

Activity Cost Pools	Estimated Overhead Costs		Expected Activity
			Product C	Product D	Total
Machine setups	$	13,490	240	250	490
Purchase orders		79,140	1,080	1,420	2,500
General factory		98,280	11,125	7,665	18,790
Total	$	190,910

Determine the unit product cost of each product for the current period using the activity-based costing approach. (Round your intermediate calculations and final answers to 2 decimal places.)