Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and "OH rate and cost per unit" answers to 2 decimal places.) Product A Product B Number of units produced 10,500 units 1,800 units Direct labor cost (@ $27 per DLH) 0.14 DLH per unit 0.26 DLH per unit Direct materials cost $ 1.50 per unit $ 2.30 per unit Activity Overhead costs Machine setup $ 65,162 Materials handling 58,000 Quality control inspections 59,010 $ 182,172

1. Using direct labor hours as the basis for assigning overhead costs, determine the total production cost per unit for each product line.
Overhead costs	$182,172	$94.00	per direct labor hour
Direct labor hours	1,938
Overhead Assigned	Activity Driver	Plantwide OH rate	Total Overhead Cost	Units Produced	OH Cost per unit
Product A	1,470	$94.00	$138,180	10,500	$13.16
Product B	468	$94.00	$43,992	1,800	$24.44
Total manufacturing cost per unit:		Product A	Product B
Direct material cost per unit		$1.50	$2.30
Direct labor cost per unit		3.78	7.02
Overhead cost per unit		13.16	24.44
Total manufacturing cost		$18.44	$33.76
2. If the market price for Product A is $24.68 and the market price for Product B is $58, determine the profit or loss per unit for each product.
		Product A	Product B
Market price		$24.68	$58.00
Manufacturing cost per unit		(18.44)	(33.76)
Profit(loss) per unit
3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B?
	Product A		Product B
Number of setups required for production	6	setups	16	setups
Number of parts required	14	part/unit	11	part/unit
Inspection hours required	56	hours	225	hours
Machine setup
Overhead costs	$65,162	$2,961.91	per setup
Number of setups	22
Materials handling
Overhead costs	$58,000	$0.35	per part
Number of parts	166,800
Quality control
Overhead costs	$59,010	$210.00	per inspection hour
Inspection hours	281
Overhead Assigned	Activity Driver		Activity Rate		Total Overhead Cost
Product A
Machine setup	6	setups	$2,961.91	per setup	$17,771
Materials handling	11	parts	$0.35	per part	51,450
Quality control	56	inspection hours	$210.00	per inspection hour	11,760
Total overhead costs assigned					$80,981
Total units produced					10,500
Overhead cost per unit					$7.71
Product B
Machine setup	16	setups	$2,961.91	per setup	$47,391
Materials handling	14	parts	$0.35	per part	5
Quality control	225	inspection hours	$210.00	per inspection hour	47,250
Total overhead costs assigned					$94,646
Total units produced
Total manufacturing costs		Product A	Product B
Direct Materials per unit		$1.50	$2.30
Direct Labor per unit		3.78	7.02
Overhead per unit		7.71	24.44
Total manufacturing cost per unit		$12.99	$33.76
4. Determine the profit or loss per unit for each product assuming ABC costing.
		Product A	Product B
Market price		$24.68	$58.00
Manufacturing cost per unit		(12.99)	(33.76)
Profit(loss) per unit

HELPPPP. WHAT IS MISSING ?