Tent Master produces Pup tents and Pop$-$up tents. The company budgets $$270,000$ of overhead cost and $54,000$ direct

labor hours. Additional information follows.

Required:

Compute an activity rate for each activity using activity$-$based costing.

The following actual activity usage produced $10,000$ Pup tents and $6,000$ Pop$-$up tents. Allocate overhead cost to Pup tents and

to Pop$-$up tents and compute overhead cost per unit for each product.

Compute product cost per unit for Pup tents and for Pop$-$up tents.

For each product, compute the gross profit per unit $($selling price per unit minus the product cost per unit$).$