The following information is provided for Orbit Antenna Corp., which manufactures two products: Lo-Gain antennas and Hi-Gain antennas for use in remote areas.

Orbit plans to produce 75 Lo-Gain antennas and 150 Hi-Gain antennas.

Requirements
1. Compute the ABC indirect manufacturing cost per unit for each product.
2. Compute the indirect manufacturing cost per unit using direct labor hours for the single plantwide predetermined overhead allocationrate.

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Activity Setup Machine maintenance Total indirect manufacturing costs Allocation Base Cost 57,000 27,000 84,000 Number of setups Number of machine hours Lo-Gain Hi-Gain Total 14003,600 5,000 60 Number of machine hours 1,800 200 3,000 Direct labor hours Number of setups 30 30