Laramie Plains, Inc. manufactures and sells two products: Product R3 and Product NO. The annual production and sales of Product R3 is 1,200 units and of Product NO is 400 units. Data concerning the expected production of each product and the expected total direct labor hours (DLHrs) required to produce that output appear below: Expected Production Direct Labor Hours per Unit Total Direct Labor Hours Product R3 1,200 2.0 2,400 Product NO 400 1.0 400 Total direct labor hours 2,800 The direct labor rate is $23.60 per DLHr. The direct materials cost per unit is $248.00 for Product R3 and $257.00 for Product NO. The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity. Expected Activity Activity Cost Pools Activity Measures Estimated Overhead Cost Product R3 Product NO Total Labor-related DLHrs $41,136 2,400 400 2,800 Production orders Orders $61,530 1,300 400 1,700 Order size MHs $433,575 3,300 3,100 6,400 $536,241 The unit product cost of Product R3 under activity-based costing is closest to: Laramie Plains, Inc. manufactures and sells two products: Product R3 and Product NO. The annual production and sales of Product R3 is 1,200 units and of Product NO is 400 units. Data concerning the expected production of each product and the expected total direct labor hours (DLHrs) required to produce that output appear below: Expected Production Direct Labor Hours per Unit Total Direct Labor Hours Product R3 1,200 2.0 2,400 Product NO 400 1.0 400 Total direct labor hours 2,800 The direct labor rate is $23.60 per DLHr. The direct materials cost per unit is $248.00 for Product R3 and $257.00 for Product NO. The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity. Expected Activity Activity Cost Pools Activity Measures Estimated Overhead Cost Product R3 Product NO Total Labor-related DLHrs $41,136 2,400 400 2,800 Production orders Orders $61,530 1,300 400 1,700 Order size MHs $433,575 3,300 3,100 6,400 $536,241 The unit product cost of Product R3 under activity-based costing is closest to: $502.90 per unit. $550.10 per unit. $798.10 per unit. $254.90 per unit