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Consider the following data for two products of Vigano Manufacturing. table [ [ Activity , table [ [ Budgeted ] , [ Cost

Consider the following data for two products of Vigano Manufacturing.
\table[[Activity,\table[[Budgeted],[Cost]],Activity Driver],[Machine setup,$29,000(20 machine setups),],[Parts handling, parts),],[Quality inspections,34,800(100 inspections),],[Total budgeted overhead,$87,000,],[,,],[Unit Information,Product A,Product B],[Units produced,2,900 units,580 units],[Direct materials cost,$39 per unit,$49 per unit],[Direct labor cost,$59 per unit,$69 per unit],[Direct labor hours,2 per unit,2.50 per unit]]
Using a plantwide overhead rate based on 7,250 direct labor hours, compute the total product cost per unit for each product.
Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost,
(a) compute overhead activity rates,
(b) allocate overhead cost to Product A and Product B and compute overhead cost per unit for each, and
(c) compute product cost per unit for each.
\table[[Actual Activity Usage,Product A,Product B],[Setups,8 setups,12 setups],[Parts,10,000 parts,6,000 parts],[Inspections,40 inspections,60 inspections.]]
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