The controller for Rich Photographic Supply has established the following cost pools and cost drivers Activity Cost Pool Machine setups Material handling Hazardous waste control Quality control Other Overhead costs Total Budgeted Overhead Cost Cost Driver $ 216,000 Number of setups 580,000 Pounds of raw material 234.000 Pounds of hatardous chemicals Number of inspections Machine hours $1,241,000 Budgeted Level for Driver 189 58,000 13, 1,800 28,000 Pool Rate $1,200 per setup $ 10 per pound $ 13 per pound $ 115 per inspection $ 18 per machine he. An order for 2,000 boxes of film-development chemicals has the following production requirements: None Machine setups Pounds of raw materials Pounds of hazardous chemicals Inspections Machine hours Direct materials and labor cost 480 525.000 Rich established a target price by adding a 30% markup to total manufacturing cost. Required: A. Determine the order's target price by using the activity-cost pools. B. Assume that Rich used a single, combined overhead rate based on weight of raw materials. 1. Determine the predetermined overhead rate. (Round your answer to 2 decimal places.) 2. Determine the expected cost of the order. (Round your intermediate calculations to 2 decimal places.) 3. Determine the target price. (Round your intermediate calculations to 2 decimal places.) C. Which approach above ("A" or "B") seems to be a more reasonable method to establish target prices? per pound A Target price B-1. Predetermined overhead rate B-2. Expected cost B-3. Target price C. Which approach would be more reasonable? Approach A Approach B