(Version 10)Coaldale Window Company designs and builds custom windows for luxury homes. Most of the windows are custom made but occasionally the company does mass production on order. Its budgeted manufacturing overhead costs for the year 2022 are as follows: Overhead Cost Pools Amount($) Purchasing Production (cutting, milling, finishing) Setting up machines 183,000 445,000 140,000 166,000 Inspecting Utilities 310,000 1,244,000 Total budget overhead costs For the year For the past three years, the company has been charging overhead to products on the basis of machine hours. 2022, 135000 machine hours are budgeted. Arielle Jensen, owner-manager of Coaldale Window, recently directed her accountant to implement the activity-based costing system she has repeatedly proposed. At Arielle's request, the accountant and production foreman identified the following cost drivers and their usage for the previously budgeted overhead cost pools Overhead Cost Pools Activity Cost Drivers Total Drivers Purchasing Number of orders 570 Production (cutting, milling, Direct labour hours 84,000 finishing) Setting up machines Number of set-ups 1,000 Inspecting Number of inspections 5,600 Utilities Square metres occupied 77,000 During the month, the company received an order for 50 window sets from a housing development contractor. The accountant prepares cost estimates for producing components for 50 window sets so Coaldale can submit a contract price per window set to the contractor. The following data for the production of 50 window sets is accumulated: Direct materials 88,000 Direct labour Machine hours 139,000 12,800 10,400 Direct labour hours Number of purchase order 54 Number of machine set-ups 82 Number of inspection 397 Number of square meters occupied 7,100 Instruction (a) (b) Calculate the predetermined overhead rate using traditional costing with machine hours as the basis Calculate the manufacturing cost per window set under traditional costing. Calculate the manufacturing cost per window set under the proposed activity-based costing. (c)