Computing product cost with given activity allocation rates Using automated production processes, Raspino Videos produces two kinds of camcorders: N100 is an analog recorder and D200 is a digital recorder. The company has found activity-based costing useful in assigning overhead costs to its products. It has identified the following five major activities involved in producing the camcorders.

Required

a. Compute the cost per unit of N100 and D200, assuming that Raspino made 1,000 units of each type of camcorder.

b. Explain why the D200 digital camcorders cost more to make although their direct costs are less than those for the N100 analog camcorders.