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a. 9. Yokomo Inc. accumulated the following cost information for its two products, A and B. Product A Product B Units produced 2,000 1,000 Total direct labor hours 5,000 20,000 Set-up cost per batch P1,000 P2,000 Batch size 100 50 Total set-up cost incurred P20,000 P40,000 Direct labor hour per unit 2 1 A traditional costing system would allocate setup costs on the basis of direct labor hours. An ABC system would trace costs by spreading the cost per batch over the units in a batch. What is the setup cost per unit of Product A under each costing system. Traditional Costing ABC a. P 4.80 P 10 6. P 2.40 P 10 P40.00 P200 D P 4.80 P 20 + labor and has 2,000 machine