5-23 ABC, process costing. Walsh Company produces mathematical and financial calculators and operates at capacity. Data related to the two products are presented here: Mathematical Financial Annual production in units 25,000 50,000 Direct material costs $75,000 $150,000 Direct manufacturing labor costs $25,000 $ 50,000 Direct manufacturing labor-hours 1,250 2,500 Machine-hours 40,000 70,000 Number of production runs 50 50 Inspection-hours 1,200. 800 Total manufacturing overhead costs are as follows: Machining costs Setup costs Inspection costs: Total $440,000 110,000 120,000 1. Choose a cost driver for each overhead cost pool and calculate the manufacturing overhead cost per unit for each product. 2. Compute the manufacturing cost per unit for each product. 3. How might Walsh's managers use the new cost information from its activity-based costing system to better manage its business