Kates Kale Chips produces a healthy snack made primarily of kale. Each bag of the product sells for $5. The company computes the manufacturing overhead rate on a quarterly basis based upon the planned number of units to be produced that quarter. The following data are from the projections of Kates Kale Chips for the upcoming quarter:

	Projections
Sales		21,500	bags
Production		23,500	bags
Variable manufacturing cost per bag	$	2.30
Sales and distribution costs per bag	$	0.30
Total fixed manufacturing overhead	$	42,300
Fixed administrative overhead	$	19,500

Required:

1. Compute the projected product cost per bag produced under full costing.

2. Compute the projected product cost per bag under variable costing.

(For all requirements, do not round intermediate calculations. Round your answer to 2 decimal places.)