Machine operations 1,540,000 14,000 machine hours First unit inspection Packaging 280,000 1,600 batches 100,000 200,000 units Actual production information for three of Meade's products during the year is as follows: Standard Standard Specialty Product A Product B Products Units 35,000 15,000 10,000 Batches 140 50 400 Setups* 150 45 800 Machine hours 1,200 650 800 Kilograms of raw materials 175,000 65,000 95,000 Direct materials costs $58,000 $44,350 $27,000 Direct labor costs $95,500 $64,900 $45,000 *Some products require setups on two or more machines. Required a. Determine the unit cost of each product for Meade Manufacturing under activity-based costing. Product A Product B Specialty Product Unit cost $ b. The unit cost of the specialty products is much higher than the unit cost of Standard Product A or Standard Product B due to: Higher Smaller number of machine hours per unit for specialty products number of setups per batch for specialty products