Cassidy Manufacturing Corporation has a traditional costing system in which it applies manufacturing overhead to its products using a predetermined overhead rate based on direct labor-hours (DLHs). The company has two products, VIP and Kommander, about which it has provided the following data:

	VIP				Kommander
Direct materials per unit	$	27.50			$	62.10
Direct labor per unit	$	15.60			$	52.00
Direct labor-hours per unit		0.60				2.00
Annual production		40,800				15,800

The company's estimated total manufacturing overhead for the year is $2,473,440 and the company's estimated total direct labor-hours for the year is 56,080.

The company is considering using a variation of activity-based costing to determine its unit product costs for external reports. Data for this proposed activity-based costing system appear below:

Activities and Activity Measures	Estimated Overhead Cost
Assembling products (DLHs)		$	926,000
Preparing batches (batches)			405,440
Product support (product variations)			1,142,000
Total		$	2,473,440

	Expected Activity
	VIP		Kommander		Total
DLHs	24,480		31,600		56,080
Batches	1,538		1,106		2,644
Product variations	2,712		1,308		4,020

The unit product cost of Product VIP under the company's traditional costing system is closest to:

Multiple Choice

$42.64.

$77.74.

$52.73.

$69.57.