For XYZ company the following cost pools and cost drivers are provided under Activity Based costing system. Activity Cost Driver (activity) Overhead Cost Estimated Units Purchasing Materials Pieces of materials $ 200,000 100,000 pieces Machine Setups Machine setups 800,000 400 setups Inspections Inspection hours 400,000 4,000 inspect. hours Running Machine Machine hours 600,000 20,000 mach. Hours Total Overhead $2,000,000 Find out Activity rate and ABC cost for following both the two products Information for each of the two products: Touring Mountain Purchasing Materials 6,000 pieces 4,000 pieces Machine Setups 10 setups 30 setups Inspections 200 hours 200 hours Running Machine 1,500 hours 1,500 hours