Shed Industries produces two products. The products’ identified costs are as follows:

  The company’s overhead costs of $59,000 are allocated based on direct labor cost. Assume 9,000 units of product A and 10,000 units of Product B are produced. What is the cost per unit for product A? (Do not round your intermediate calculations, round final answer to two decimal places.)

2. Barr Company makes steel and titanium handle bars for bicycles. It requires approximately 1 hour of labor to make one handle bar of either type. During the most recent accounting period, Barr Company made 7,200 steel bars and 2,800 titanium bars. Setup costs amounted to $40,000. One batch of each type of bar was run each month. If a single company-wide overhead rate based on direct labor hours is used to allocate overhead costs to the two products, the amount of setup cost assigned to the steel bars will be: 

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