Great Furniture Inc. (GF) manufactures a variety of furniture for household use and just two items for office use: desks and cabinets. The production process for desks and cabinets is similar, although machines must be retooled for each product. Both materials and labour costs are directly traceable to individual products; however, overhead is a common cost and allocated using direct labour hours as the allocation base. GF's accountant is considering the use of activity-based costing (ABC) and has suggested evaluating the system by applying it to the two office use products (desks and cabinets). The following data are available for a typical quarter. Activity Cost Pool Parts receipts Machining Assembly Quality control Direct materials Direct labour Activity Base Number of parts Machine hours Units produced Units tested Activity Rate $ 6.00 per part $5.00 per unit $ 3.00 per unit $18.00 per machine-hour Activity Usage Desks 518 parts Cabinets 1,036 parts 318 machine hours 518 units 518 machine hours 400 units 118 units $6,372 $8,270 218 units $9,300 $8,900 Each product consumed 518 direct labour hours. Required: 1. Determine the total manufacturing cost and cost per unit for each of the two product lines for the quarter, using activity-based costing to allocate overhead costs. (Round "Cost per unit" answers to 2 decimal places.) Desks Total manufacturing cost Cost per unit Cabinets 2. Redo the above using direct labour hours as the allocation base. (Round "Cost per unit" answers to 2 decimal places.) Total manufacturing cost Cost per unit Desks Cabinets