Speed Demon Inc. manufactures two products: speedometers and odometers. During the month, it produced 2,000 speedometers and 3,000 odometers and incurred estimated overhead costs of $45,300. This month, the company incurred the following: Speedometers Odometers Machine Hours 750 1,000 Labour Hours 1,200 800 Labor Cost $12,000 $18,000 Management is considering implementing activity-based costing. An analysis of estimated overhead costs reveals the following activities: Expected Activity Activity Overhead Cost Allocation Base Speedometers Odometers Materials Handling $18,000 # of requisitions 400 600 Machine Set-Ups $12,600 # of set-ups 150 300 Inspections $14,700 # of inspections 200 400 The company currently allocates overhead based on direct labor hours.

a. What is the total overhead allocated to odometers using the current costing system? b. What is the per unit cost of odometers using the current costing system? Round answer to two decimal places.