Escuha Company produces two type of calculators: scientific and business. Both products pass through two producing departments. The business calculator is by far the most popular. The following data have been gathered for these two products:

	Product-Related Data
	Scientific	Business
Units produced per year	74,000	740,000
Prime costs	$258,000	$2,580,000
Direct labor hours	96,200	962,000
Machine hours	51,200	512,000
Production runs	100	150
Inspection hours	2,000	3,000
Maintenance hours	2,250	9,000

	Department Data
	Department 1	Department 2
Direct labor hours:
Scientific calculator	74,100	22,100
Business calculator	134,680	827,320
Total	208,780	849,420
Machine hours:
Scientific calculator	26,900	24,300
Business calculator	435,780	76,220
Total	462,680	100,520
Overhead costs:
Setup costs	$223,500	$223,500
Inspection costs	165,000	165,000
Power	239,000	144,000
Maintenance	190,000	271,250
Total	$817,500	$803,750

Required:

1. Compute the overhead cost per unit for each product using a plantwide, unit-based rate using direct labor hours. Round your calculations and answers to the nearest cent.

Plantwide rate	$ 1.53 per direct labor hour
Overhead cost per unit:
Scientific	$ 1.99 per unit
Business	$ 1.99 per unit

2. Compute the overhead cost per unit for each product using departmental rates. In calculating departmental rates, use machine hours for Department 1 and direct labor hours for Department 2. Round departmental rates and the overhead cost per unit to the nearest cent if rounding is required.

Departmental rates:
Department 1	$ 1.77 per machine hour
Department 2	$ 0.95 per direct labor hour
Overhead cost per unit:
Scientific	$ per unit
Business	$ per unit

Repeat using direct labor hours for Department 1 and machine hours for Department 2. Round departmental rates and the overhead cost per unit to the nearest cent if rounding is required.

Departmental rates:
Department 1	$ per direct labor hour
Department 2	$ per machine hour
Overhead cost per unit:
Scientific	$ per unit
Business	$ per unit

3. Compute the overhead cost per unit for each product using activity-based costing. Round your calculations and answers to the nearest cent.

	Overhead Cost
Scientific	$ per unit
Business	$ per unit