Activity-Based Product Costing Davis Company produces two hair dryers: regular and deluxe. The company has four activities: machining engineering, receiving, and inspection, Information on these activities and their drivers is given below. Regular Deluxe Total Units produced 140,000 420,000 Prime costs $11,480,000 $47,880,000 $59,360,000 Machine hours 140,000 700,000 840,000 Engineering hours 500 4,500 5,000 200 600 B00 Receiving orders Inspection hours 800 1,600 2,400 Overhead costs: Machining $12,600,000 Engineering 2,950,000 Receiving 232,000 Inspecting products 288,000 1. Calculate the four activity rates. Machining rate per machine hour $ per hour Engineering rate Receiving rate per order per hour Inspecting rate 2. Calculate the unit costs using activity rates. Round your answers to the nearest cent. Unit cost Regular per unit Deluxe per unit Calculate the overhead cost per unit. Round your answers to the nearest cent. Overhead Cost Regular per unit Deluxe per unit 3. If consumption ratios instead of activity rates were used to assign costs instead of activity rates, show the cost assignment for the inspection activity. Cost assignment Regular Deluxe