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Horten Sporting Goods Corporation makes two types of racquets, tennis and badminton. The company uses the same facility to make both products even though the processes are quite different. The company has recently converted its cost accounting system to activity$-$based costing. The following are the cost data that Jane Price, the cost accountant, prepared for the third quarter of the year $($during which Horten made $70,000$ tennis racquets and $30,000$ badminton racquets$).$

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Direct CostTennis Racquet $($TR$)$Badminton Racquet $($BR$)$Direct materials$ $28$per unit$ $20$per unitDirect labor$34$per unit$28$per unit

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CategoryEstimated CostCost DriverAmount of Cost DriverUnit level$ $750,000$Number of inspection hoursTR: $15,000$ hours; BR: $10,000$ hoursBatch level$250,000$Number of setupsTR: $80$ setups; BR: $45$ setupsProduct level$150,000$Number of TV commercialsTR: $4$; BR: $1$Facility level$650,000$Number of machine hoursTR: $30,000$ hours; BR: $35,000$ hoursTotal$ $1,800,000$

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Inspectors are paid according to the number of actual hours worked, which is determined by the number of racquets inspected. Engineers who set up equipment for both products are paid monthly salaries. TV commercial fees are paid at the beginning of the quarter. Facility$-$level cost includes depreciation of all production equipment.

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Required

Compute the cost per unit for each product.

If management wants to price badminton racquets $30$ percent above cost, what price should the company set?