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Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 9,000 units and

Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 9,000 units and of Product B is 6,500 units. There are three activity cost pools, with total cost and total activity as follows:

Total Activity

Activity Cost Pool Total Cost Product A Product B Total
Activity 1 $36,260 250 490 740
Activity 2 $48,037 880 330 1,210
Activity 3 $120,450 850 3,530 4,380

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

$3.94 per units

$4.54 per units

$7.84 per units

$14.33 per units

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