This Question: 2 pts 21 of 42 (19 complete) This Test: 100 pts po: Nichols Inc. manufactures remote controls. Currently the company uses a plant-wide rate for allocating manufacturing overhead. The plant manager is considering switching - over to ABC costing system and has asked the accounting department to identify the primary production activities and their cost drivers which are as follows: Activities Material handling Assembly Inspection Cost driver Number of parts Labor hours Time at inspection station Allocation Rate $2.00 per part $10.00 per hour $20.00 per minute The current traditional cost method allocates overhead based on direct manufacturing labor hours using a rate of $50.00 per labor hour. Nichols' management is considering to implement ABC system because O A. ABC system provides more accurate direct cost figures OB. ABC system requires minimal expertise to operate OC. ABC system can be implemented cheaply OD. ABC system is a highly refined costing system Click to select your