RST Manufacturing produces three products: X, Y, and Z. The following data is provided:

Activity	Cost ($)	Cost Driver	Product X	Product Y	Product Z
Machine setups	30,000	Number of setups	10	15	20
Quality inspections	20,000	Number of inspections	5	10	15
Material handling	10,000	Number of movements	8	12	16

Required: a. Calculate the cost per activity for each cost driver. b. Determine the total cost assigned to each product using activity-based costing. c. Compare the costs assigned using ABC with traditional costing (assume overheads are allocated based on direct labor hours: 500 hours for Product X, 400 hours for Product Y, and 300 hours for Product Z). d. Discuss the benefits and challenges of implementing activity-based costing.