Exercise 17-12 Using ABC for strategic decisions LO P1, P3 Consider the following data for two products of Gitano Manufacturing. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and "OH rate and cost per unit" answers to 2 decimal places.) Number of units produced Direct labor cost (@ $30 per DLH) Direct materials cost Product A 13,000 units 0.18 DLH per unit $ 2.20 per unit Product B 2,000 units 0.29 DLH per unit $ 2.50 per unit Activity Machine setup Materials handling Quality control inspections Overhead costs $118,760 61,000 85,960 $265,720 3. Consider the following additional information about these two product lines. If ABC is used for assigning overhead costs to products, what is the cost per unit for Product A and for Product B? Product A Product B Number of setups required for production setups 20 setups Number of parts required part/unit part/unit Inspection hours required 62 hours 245 hours 0 Machine setup Direct labor costs Direct materials Materials handling Quality control Activity Driver Activity Rate Total Overhead Cost Overhead Assigned Product A Machine setup Materials handling Quality control Product B Machine setup Materials handling Quality control