Larsen, Inc., produces two types of electronic parts and has provided the following data: Part x12 Part YKZ Total 100,000 600,000 Units produced Direct labor hours 35,000 65,000 100,000 350,000 120 Machine hours 49,000 301,000 Number of setups 36 84 Testing hours 1,000 9,000 Number of purchase orders 3,600 There are four activities: machining, setting up, testing, and purchasing. 10,000 400 4,000 Required: 1. Calculate the activity consumption ratios for each product. Round your answers to two decimal places. Consumption Ratios Overhead Activity Part 12 Part YK7 Activity Driver Machining Setups Inspecting products Purchasing III III 2. Calculate the consumption ratios for the plantwide rate (direct labor hours). Round your answers to two decimal places. Consumption Ratios Overhead Activity Part x12 Part YK7 Plantwide: Manufacturing Which product is undercosted? 3. If the machine hours were used for the plantwide rate, would this remove the cost distortion of a plantwide rate