Fuller Sporting Goods Corporation makes two types of racquets, tennis and badminton. The company uses the same facility to make both products even though the processes are quite different. The company has recently converted its cost accounting system to activity-based costing. The following are the cost data that Beth Orpin, the cost accountant, prepared for the third quarter of 2014 (during which Fuller made 70,000 tennis racquets and 30,000 badminton racquets) Direct Cost Direct materials Direct labor Tennis Racquet (TR) $22 per unit 32 per unit Badminton Racquet (BR) $18 per unit 26 per unit Cost Driver Category Estimated Cost Unit level Batch level Product level Facility level Amount of Cost Driver $ 750,000 250,000 150,000 650,000 Number of inspection hours Number of setups Number of TV commercials Number of machine hours TR: 15,000 hours; BR: 10,000 hours TR: 80 setups, BR: 45 setups TR: 4; BR:1 TR: 30,000 hours; BR: 35,000 hours Total $1,800,000 Inspectors are paid according to the number of actual hours worked, which is determined by the number of racquets inspected. Engineers who set up equipment for both products are paid monthly salaries. TV commercial fees are paid at the beginning of the quarter. Facility-level cost includes depreciation of all production equipment. Required a. Compute the cost per unit for each product. (Round intermediate calculations and final answers to 2 decimal places.) Type of ProductCost Per Unit Tennis Racquet Badminton Racquet b. If management wants to price badminton racquets 30 percent above cost, what price should the company set? (Round intermediate calculations and final answer to 2 decimal places.) Price of badminton racquets