Thornton Electronics produces video games in three market categories: commercial, home, and miniature. Thornton 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		$	678,600		Indirect labor wages, supplies, factory utilities, machine maintenance	Machine hours
Batch			639,500		Materials handling, inventory storage, labor for setups,packaging, labeling and shipping, scheduling	Number of production orders
Product			210,500		Research and development	Time spent by research department
Facility			552,000		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	$	36.50	/unit		$	23.70	/unit		$	30.40	/unit
Direct labor cost	$	14.80	/hour		$	14.80	/hour		$	18.10	/hour
Number of labor hours		5,800				12,800				2,000				20,600
Number of machine hours		13,000				47,000				18,000				78,000
Number of production orders		250				2,100				550				2,900
Research and development time		13	%			24	%			63	%			100	%
Number of units		18,000				42,000				17,000				77,000
Square footage		17,000				45,000				30,000				92,000

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.