XYZ Company manufactures and distributes two products, M and XY. Overhead costs are currently allocated using the number of units produced as the allocation base. The controller has recommended changing to an activity-based costing (ABC) system. She has collected the following information: Activity Production setups Cost Driver Amount Number of setups $ 82,000 M XY 8 12 Material handling Number of parts 48,000 56 24 Packaging costs Number of units 130,000 80,000 50,000 $ 260,000 What is the total overhead per unit allocated to Product M using activity-based costing (ABC)? Select one: a. $1.79. b. $2.33. c. none of the given answer. Od. $2.27. e. $1.83.