e7-8 Calculating product costs using activity-based costing (CIMA adapted) Wieters Industries manufactures several products including a basic case for a popular smartphone. The company is considering adopting an activity-based costing approach for setting its budget. The company's production activities, budgeted activity cost5, and cost drivers for the coming year are as follows. The budgeted data for smartphone case production are as follows. Number of quality tests 400 Number of purchase orders 50 Production 15,000 units Required - Use Activity-Based-Costing (ABC) method, show clear calculations, and answer the following questions: 1. Calculate the "activity rate" for each cost activity. 2. Calculate the total manufacturing costs of the 15,000 smartphones. [*hint: total direct materlal costs = $2.50 per phone X15000 phones; similar for the direct labor; 3. Calculate the manufacturing cost of one smartphone