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Exercise 4-3 (Algo) Compute ABC Product Costs [LO4-3] Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following

Exercise 4-3 (Algo) Compute ABC Product Costs [LO4-3]

Larner Corporation is a diversified manufacturer of industrial goods. The company's activity-based costing system contains the following six activity cost pools and activity rates:

Activity Cost Pool Activity Rates
Labor-related $ 5.00 per direct labor-hour
Machine-related $ 6.00 per machine-hour
Machine setups $ 40.00 per setup
Production orders $ 100.00 per order
Shipments $ 120.00 per shipment
General factory $ 6.00 per direct labor-hour

Cost and activity data have been supplied for the following products:

J78 B52
Direct materials cost per unit $ 6.00 $ 26.00
Direct labor cost per unit $ 5.00 $ 6.00
Number of units produced per year 1,000 100

Total Expected Activity
J78 B52
Direct labor-hours 1,300 40
Machine-hours 2,200 30
Machine setups 5 2
Production orders 7 2
Shipments 6 2

Required:

Compute the unit product cost of each product listed above. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Unit product cost of J78:

Unit product cost of B52:

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