EyeGuard Equipment Inc. (EEI) manufactures protective eyewearfor use in commercial and home applications. The product is alsoused by hunters, home woodworking hobbyists, and in otherapplications. The firm has two main product lines—thehighest-quality product is called Safe-T, and a low-cost, valueversion is called Safe-V. Information on the factory conversioncosts for EEI is as follows: Factory Costs Salaries $ 844,000Supplies 144,000 Factory expense 544,000 $ 1,532,000 EEI uses ABCto determine the unit costs of its products. The firm uses resourceconsumption cost drivers based on rough estimates of the amountthat each activity consumes, as shown below. EEI has fouractivities: job setup, assembly, inspecting and finishing, andpackaging. Setup Assembly Inspecting and Finishing Packaging TotalSalaries 15 % 55 % 20 % 10 % 100 % Supplies 20 60 20 100 Factoryexpense 80 20 100 The activity cost drivers for the two productsare summarized below. Activities Activity Driver Setup BatchAssembly Units Inspect and finishing Finishing hours PackagingPacking hours Safe-V Safe-T Batches 190 540 Units 54,000 66,000Finishing hours, per unit 0.20 0.30 Packaging hours, per unit 0.100.15 Materials per unit $ 3.50 $ 6 Required: 1. Determine theamount of the cost pool for each of the four activities. 2.Determine the activity-driver rates for assigning factory costs tothe two products. 3. Determine the activity-based unit cost foreach of the products.