QUESTION 1 Ahmad Danial is the cost supervisor at the production department for a bakery chain store called AD Bakery in Damansara. This bakery produces three types of products, namely cupcakes, doughnuts and curry puffs. The following information relates to the bakery operations for the year ending 31 December 2017 The total production costs are given below: Cost pools RM Machining 8,000 Set-up costs 5,500 Packaging 4,200 Inspection 2,800 Products Cupcakes Doughnuts Curry putts Output (Unit) 500 300 200 Machine 50 hours 60 hours 80 hours Direct Material Direct Labour 750 kg 150 hours 100 kg 60 hours 50 kg 40 hours The direct labour rate is RM1.50 per hour and the direct material cost is RM1.20 per kg. The production manager and the cost supervisor have arrived at the following cost driver basis. Cost pools Cost driver Machining Machine hours Set-up cost Direct material (kg) Packaging Number of units produced Inspection Number of units produced Required: 1. Calculate the production cost per unit using the ABC approach. (14 Marks) 2. Using the traditional costing approach, compare the cost per unit for each of the products. (9 Marks)