Direct materials per unit Direct labor per unit Direct labor-hours per unit Estimated annual production Deluxe $ 56.00 Standard $ 44.00 $ 11.60 $ 14.00 0.70 DLHS 10,000 units 1.40 DLHs 50,000 units The company has a traditional costing system in which manufacturing overhead is applied to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: Estimated total manufacturing overhead Estimated total direct labor-hours $538,000 77,000 DLHS Required: 1. Determine the unit product costs of the Deluxe and Standard products under the company's traditional costing system. 2. The company is considering replacing its traditional costing system with an activity-based absorption costing system that would have the following three activity cost pools: Expected Activity Estimated Overhead Activity Cost Pools (and Activity Measures) Supporting direct labor (direct labor-hours) Batch setups (setups) Cost $385,000 Deluxe 96,000 7,000 200 Standard 70,000 100 Total 77,000 300 Safety testing (tests) Total manufacturing overhead cost 57,000 30 70 100 $538,000 Determine the unit product costs of the Deluxe and Standard products under the activity-based absorption costing system.