Consider the following data for two products of Vigano Manufacturing.

1. Using a plantwide overhead rate based on 2,500 direct labor hours, compute the total product cost per unit for each product.
2. Consider the following additional information about these two products. If activity-based costing is used to allocate overhead cost, (a) compute overhead activity rates, \((b)\) allocate overhead cost to Product \(A\) and Product \(\mathrm{B}\) and compute overhead cost per unit for each, and (c) compute product cost per unit for each.

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Activity Machine setup... Parts handling.... Quality inspections.. Total budgeted overhead.. Budgeted Cost $ 10,000 8,000 12,000 $30,000 Activity Driver 20 machine setups 16,000 parts 100 inspections Unit Information Units produced.. Direct materials cost... Direct labor cost.. Direct labor hours.... Product A 1,000 units $20 per unit $40 per unit 2.0 per unit Product B 200 units $30 per unit $50 per unit 2.5 per unit