Custom's has three cost pools and an associated cost driver to allocate the costs to the product. The cost pools, cost driver, estimated overhead, and estimated activity for the cost pool are: Cost Pool Cost Driver Estimated Activity per Driver Estimated Overhead Material 14,000 $ 52,500 Machining Material requisitions Machine hours Number of inspections 186,400 363,500 Inspection 10,000 75,000 Which activity has the highest predetermined overhead rate? Material All activities have the same rate. Inspection Machining