Hakara Company has been using direct labor costs as the basis for assigning overhead to its many products. Under this allocation system, product A has been assigned overhead of $23.18 per unit, while product B has been assigned $9.84 per unit. Management feels that an ABC system will provide a more accurate allocation of the overhead costs and has collected the following cost pool and cost driver information:

Cost Pools Activity Costs Cost Drivers Activity Driver Consumption

Machine setup $426,000 Setup hours 6,000

Materials handling 171,000 Pounds of materials 19,000

Electric power 54,000 Kilowatt-hours 27,000

The following cost information pertains to the production of A and B, just two of Hakara's many products:

A B

Number of units produced 5,000 10,000

Direct materials cost $37,000 $28,000

Direct labor cost $24,000 $25,000

Number of setup hours 100 100

Pounds of materials used 1,000 1,000

Kilowatt-hours 2,000 2,000

Required:

1. Use activity-based costing to determine a unit cost for each product.(Round your final answers to 2 decimal places.)

Cost Per Unit

Product A ?

Product B ?