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Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows: T-SHIRTS SWEATSHIRTS Production and sales volume 168,000 units 26,000 units

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Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows: T-SHIRTS SWEATSHIRTS Production and sales volume 168,000 units 26,000 units Selling price $20.00 $29.00 Direct material $1.70 $5.00 Direct labor $4.60 $ 7.20 Manufacturing overhead $6.20 $ 3.00 Gross profit $ 7.50 $13.80 Selling and administrative $3.70 $ 7.00 Operating profit $3.80 $ 6.80 Tiger Pride's managers have decided to revise their current assignment of overhead costs to reflect the following A Activity Activity cost Activity-cost driver Supervision $89.100 Direct labor hours (DLH) Inspection $118.200 Inspections Activities demanded T-SHIRTS SWEATSHIRTS 0.25 DLH/unit 1.50 DLH/unit 42,000 DLHS 39,000 DLHS 80,000 inspections 18,500 inspections Under the revised ABC system, overhead costs per unit for the Sweatshirts will be $2.50 per unit $1.20 per unit 51.67 per unit $0.39 per unit (Do not round interim ca

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