Consider the following data for two products of Vigano Manufacturing:

$\backslash$table$[[$Activity$,\backslash$table$[[$Budgeted$],[$Cost$]],$Activity Driver$],[$Machine setup,$$26,000,20$ machine setups$)],[$Parts handling,$20,800,16,000$ parts$)],[$Quality inspections,$31,200,100$ inspections$)],[$Total budgeted overhead,$$78,000,],[$Unit Information,Product A$,$Product B$],[$Units produced,$2,600$ units,$520$ units$],[$Direct materials cost,$$36$ per unit,$$46$ per unit$],[$Direct labor cost,$$56$ per unit,$$66$ per unit$],[$Direct labor hours,$2$ per unit,$2\mathrm{.}50$ per unit$]]$

Using a plantwide overhead rate based on $6,500$ 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 cosi $($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.

$\backslash$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$]]$

Complete this question by entering your answers in the tabs below.

Required $2$

Using a plantwide overhead rate based on $6,500$ direct labor hours, compute the total product cost per unit for each product.

Per Unit

Direct

Overhead

Product Cost

Materials

ner Unit