Mahaley, Incorporated, manufactures and sells two products: Product Q9 and Product F0. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:

	Expected Production	Direct Labor-Hours Per Unit	Total Direct Labor-Hours
Product Q9	920	9.2	8,464
Product F0	920	7.2	6,624
Total direct labor-hours			15,088

The direct labor rate is $23.00 per DLH. The direct materials cost per unit for each product is given below:

	Direct Materials Cost per Unit
Product Q9	$ 176.10
Product F0	$ 147.90

The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

Activity Cost Pools	Activity Measures	Estimated Overhead Cost	Expected Activity
			Product Q9	Product F0	Total
Labor-related	DLHs	$ 391,680	8,464	6,624	15,088
Machine setups	setups	49,830	900	800	1,700
Order size	MHs	290,700	4,300	4,100	8,400
		$ 732,210

The unit product cost of Product F0 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

$754.34 per unit

$680.14 per unit

$387.70 per unit

$514.54 per unit

Snavely, Incorporated, manufactures and sells two products: Product E1 and Product A7. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below:

	Expected Production	Direct Labor-Hours Per Unit	Total Direct Labor-Hours
Product E1	900	10.0	9,000
Product A7	600	5.0	3,000
Total direct labor-hours			12,000

The direct labor rate is $25.90 per DLH. The direct materials cost per unit for each product is given below:

	Direct Materials Cost per Unit
Product E1	$ 284.00
Product A7	$ 240.00

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

Activity Cost Pools	Activity Measures	Estimated Overhead Cost	Expected Activity
			Product E1	Product A7	Total
Labor-related	DLHs	$ 120,900	9,000	3,000	12,000
Machine setups	setups	57,020	1,000	600	1,600
Order size	MHs	891,840	4,000	2,600	6,600
		$ 1,069,760

The total overhead applied to Product A7 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

$666,880

$177,920

$351,338

$402,962