Question: Public Compromat, Inc. uses activity - based costing and wants to adopt approximated ABC, using the two largest cost pools. The firm's current budgeted activity

Public Compromat, Inc. uses activity-based costing and wants to adopt approximated ABC, using the two largest cost pools.
The firm's current budgeted activity cost pools are as follows.
Preplanning activity cost pool: $50,000
Assembly activity cost pool: $6,500
Execution activity cost pool: $112,000
Follow-up activity cost pool: $1,900
The budgeted activity driver for the Preplanning activity cost pool is 10,000. The budgeted activity driver for the Execution activity cost pool is 15,000
What is the Preplanning activity rate under normal ABC and under approximated ABC (round to the nearest cent if necessary)?

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