Parker Company produces mathematical and financial calculators and oper- ates at capacity. Data related to the two products are presented here: Annual production in units Direct material costs Direct manufacturing labor costs Direct manufacturing labor-hours Machine-hours Number of production runs Inspection hours Total manufacturing overhead costs are as follows: Mathematical Financial 60,000 120,000 $240,000 $480,000 $ 75,000 $150,000 5,000 10,000 40,000 80,000 60 60 1,500 750 Total Machining costs $720,000 Setup costs 150,000 Inspection costs 135,000 1. Choose a cost driver for each overhead cost pool and calculate the manufacturing overhead cost per unit for each product. 2. Compute the manufacturing cost per unit for each product. 3. How might Parker's managers use the new cost information from its activity-based costing system to better manage its business?