Fogerty Company makes two products-titanium Hubs and Sprockets. Data regarding the two products follow:

Additional information about the company follows:
a. Hubs require $32 in direct materials per unit, and Sprockets require $18.
b. The direct labor wage rate is $15 per hour.
c. Hubs are more complex to manufacture than Sprockets and they require special processing.
d. The company's activity-based absorption costing system has the following activity cost pools:

Required:
1. Compute the activity rate for each activity cost pool.
2. Compute the unit product cost for Hubs and Sprockets using activity-based absorption costing.

Direct Labor-Hours per Unit 0.80 0.40 Annual Production 10,000 units 40,000 units Sprockets Expected Activity Estimated Overhead Cost $72,000 $200,000 Sprockets Hubs 14303 5,000 Total Activity Cost Pool (and Activity Measure) Machine setups (number of setups) Special processing (machine-hours) General factory (Direct labor-hours) AD) 5,00o $816,000 8,000 6,000 24,000 300 u) 0