Rainbow Spray Paints, Inc. has used a traditional cost accounting system to apply quality- control costs uniformly to all products at a rate of 15 percent of direct-labor cost. Monthly direct-labor cost for the enamel paint line is $102,000. In an attempt to more equitably distribute quality-control costs, Rainbow is considering activity-based costing. The monthly data shown in the following chart have been gathered for the enamel paint line Quantity of Driver for Enamel Paint Activity Cost Pool Cost Driver Type of Pool Rates s 2700 Per type Incoming material In-process inspection Product certification 27 types inspection material Number of 0.29 unit. 37,000 units per Per order 154.00 45 orders order Required: 1. Calculate the monthly quality-control cost to be assigned to the enamel paint line under each of the following product-costing systems a. Traditional system which assigns overhead on the basis of direct-labor cost. b. Activity-based costing Assigned Cost Traditional system Activity-based costing 2. Does the traditional product-costing system overcost or undercost the enamel paint line with respect to quality-control costs? By what amount? Traditional system by