Fogerty Company makes two products, titanium Hubs and Sprockets. Data regarding the two products follow:

Direct labor hours per Unit             Annual Production

Hubs 0.80 Units                            10000Units

Sprockets 0.40 Units                     40000 Units

Additional information about the company follows:
a. Hubs require $32 in direct materials per unit, and Sprockets require $18.
b. The direct labor wage rate is $15 per hour.
c. Hubs are more complex to manufacture than Sprockets and they require special processing.
d. The ABC system has the following activity cost pools

Activity cost pool (Activity measure) Overhead

                                                          Cost         Hubs  Sprockets   tot

Machine set up ( Number of set ups) $72000         100     300            400
Special processing ( Machine hours)  $200000        5000    0            5000
General factory (Direct labor hours)  $816000         8000   16000    24000

Required:
1. Compute the activity rate(i.e predetermined overhead state) for each activity cost pool.
2. Determine the unit cost of each product according to the ABC system.