PQR Manufacturing has the following information for the year 2023:

Cost Pools:

Setup Costs: $10,000

Machine Hours: $20,000

Inspection Costs: $5,000

Cost Drivers:

Number of Setups: 100

Machine Hours: 2,000

Number of Inspections: 50

Requirements:

Calculate the cost driver rate for each cost pool.

Determine the total overhead costs allocated to a product that requires 10 setups, 500 machine hours, and 5 inspections.

Assess the accuracy of the overhead allocation.

Evaluate the impact of activity-based costing on product pricing.

Provide recommendations for improving cost allocation accuracy.