Case Two Jaycars Limited manufactures electronic components for machines and has just changed to an activity-based costing system that will assign labour, manufacturing and non-manufacturing overhead costs to products. A bill of activities for one of the company's signature products, Component ABK587, is given below.. Activity Prepare purchase order Process payables Prepare payroll Process sales order, pack and dispatch Program solder robots ACC 205 Component ABK587 Cost per unit of Activity Driver $ 48 per purchase order $12 per invoice received $18 per payslip $ 52 per sales order Annual Quantity of Activity Driver used by Component ABK587 100 purchase orders 240 invoices 550 payslips 4000 sales orders $ 226 per program 700 programs Page 1 Assignment KI Solder circuits Assemble circuit boards Wire in and test switch Insert fuse Design switch $2.50 per solder joint 50000 solder joints 25000 boards $7.50 per board $18 per switch $ 16 per fuse $ 19899 for Component ABK587 15000 switches 30000 fuses The company produced 48,000 Components of ABK587 for the year. The direct material cost per Component ABK587 is $96. The cost of Direct labour is $120 per hour. Before introducing activity-based costing, under a conventional (traditional) plant-wide overhead application, the company allocated all conversion costs based on direct labour hours, calculated as 175% of direct labour cost. Under this system, Component ABK587 would have used 37,000 direct labour hours (which would have had overheads applied to it). REQUIRED: (Calculations to 3 decimal places - Show all workings) 8 Marks Compute the total unit cost for Component ABK587- I. Under the previous conventional costing system. 11. Under the new activity-based costing (ABC) system. III. Comment on Jaycar Limited's decision to change from the conventional/traditional costing system to the ABC costing system? Give reasons to support your