Lens Care Inc. (LCI) manufactures specialized equipment for polishing optical lenses. There are two models - one mainly used for fine eyewear (F-32) and another for lenses used in binoculars, cameras, and similar equipment (8-13). The manufacturing cost of each unit is calculated using activity-based costing; using the following manufacturing cost pools. Cost Allocation Costing Pools Basc Rate 1. Materials handling Number of parts $2.40 per part 2. Manufacturing supervision Hours of machine time $14.80 per hour 3. Assembly Number of parts $3.30 per part 4. Machine setup Each setup $56.50 per setup 5. Inspection and testing Logged hours $45.50 per hour $19.50 per hour 6. Packaging Logged hours LCI currently sells the B-13 model for $1,875 and the F-32 model for $1,101. Manufacturing costs and activity usage for the two products are as follows: B-13 F-32 Direct materials $198.50 $119.90 Number of parts 195.00 118.00 Machine Hours 9.00 8.50 Inspection time 1.75 1.00 Packaging time .75 -50 Set-ups 4.00 2.00 7) The product cost for model B-13 is calculated to be: Answer: 8) The product cost for model F-32 is calculated to be: Answer: 9) The product margin for model B-13 is calculated to be: Answer: 10) The product margin for model F-32 is calculated to be