Use this information for the next two questions. Believing that its traditional cost system may be providing misleading information, Farragut Manufacturing is considering an activity-based costing (ABC) approach. It now employs a traditional cost system and has been applying its manufacturing overhead on the basis of machine hours. Farragut plans on using 50,000 direct labor hours and 30,000 machine hours in the coming year. The following data show the manufacturing overhead that is budgeted. . mon wanulaturing overhead cost: $1,800,000 Cost, sales, and production data for one of Farragut's products for the coming year are as follows: Prime costs: year would be A. $5.39 B. $5.44 C. $6.11 D. $6.95 23. (20 pts.) If Farragut employs an activity-based costing system, the cost per unit for the product described for the coming year would be A. $6.00 B. $6.08 C. $6.21 D. $6.30