Tricia Steiner, sales manager, has received an order for 10 luxury armoires from Thom's Interior Design. At Trcia's request, Ben prepares cost estimates for producing 10 armoires so Tricia can submit a contract price per armoire to Thom's. He accumulates the following data for the production of 10 armoires. $5,200 $3,500 200 Direct materials Direct labor Direct labor hours Number of purchase orders Number of material moves Number of machine setups Number of inspections Number of components Number of square feet occupied 3 32 4. 20 640 320 Instructions (a) Compute the predetermined overhead rate using traditional costing with materials cost as the basis. (b) What is the manufacturing cost per armoire under traditional costing? (c) What is the manufacturing cost per armoire under the proposed activity-based costing? (Prepare all of the necessary schedules.) (d) Which of the two costing systems is preferable in pricing decisions and why