Perez Electronics produces video games in three market categories: commercial, home, and miniature. Perez has traditionally allocated overhead costs to the three products using the companywide allocation base of direct labor hours. The company recently implemented an ABC system when it installed computer-controlled assembly stations that rendered the traditional costing system ineffective. In implementing the ABC system, the company identified the following activity cost pools and cost drivers:

Category		Total Pooled Cost			Types of Costs	Cost Driver
Unit		$	637,500		Indirect labor wages, supplies, factory utilities, machine maintenance	Machine hours
Batch			798,100		Materials handling, inventory storage, labor for setups,packaging, labeling and shipping, scheduling	Number of production orders
Product			211,500		Research and development	Time spent by research department
Facility			467,500		Rent, general utilities, maintenance, facility depreciation, admin. salaries	Square footage

Additional data for each of the product lines follow:

	Commercial				Home				Miniature				Total
Direct materials cost	$	36.10	/unit		$	23.80	/unit		$	29.40	/unit
Direct labor cost	$	14.50	/hour		$	14.50	/hour		$	18.50	/hour
Number of labor hours		5,900				11,700				1,800				19,400
Number of machine hours		13,000				49,000				13,000				75,000
Number of production orders		250				1,900				850				3,000
Research and development time		12	%			23	%			65	%			100	%
Number of units		12,000				43,000				11,000				66,000
Square footage		18,000				52,000				15,000				85,000

Required

1. Determine the total cost and cost per unit for each product line, assuming that overhead costs are allocated to each product line using direct labor hours as a companywide allocation base. Also determine the combined cost of all three product lines.

2. Determine the total cost and cost per unit for each product line, assuming that an ABC system is used to allocate overhead costs. Determine the combined cost of all three product lines.