12v 10.00 points Cain Components manufactures and distributes various plumbing products used in homes and other buildings. Over time, the production staff has noticed that products they considered easy to make were difficult to sell at margins considered reasonable, while products that seemed to take a lot of staff time were selling well despite recent price increases. A summer intern has suggested that the cost system might be providing misleading information. The controller decided that a good summer project for the intern would be to develop, in one self-contained area of the plant, an altemative cost system with which to compare the current system. The intem identified the following cost pools and, after discussion with some plant personnel, appropriate cost drivers for each pool. There were Cost Pools Activity Drivers $ 645,000 Direct material cost 6,250,000 Machine-hours 1,050,000 Production runs Machine setup Shipping S 875,000 Units shipped In this particular area, Cain produces two of its many products: Standard and Deluxe. The following are data for production for the latest full year of operations: Total direct material costs Total direct labor costs Total machine-hours Total number of setups Total pounds of material Total direct labor-hours Number of units produced and shipped Standard S260,000 S680,000 160,000 80 17,000 7,000 20,000 $170,000 $280,000 90,000 130 8,500 4,375 5,000