Question 3 Study the information provided below and calculate the following: 3.1 Manufacturing costs per unit for each product using the traditional absorption costing system 3.2 Manufacturing overheads cost per unit for each product using the ABC system. INFORMATION (6 marks) (14 marks) Matrix Ltd manufactures two products, viz. Product A and Product B. The company operated an absorption costing system gathering all the overheads in a single cost centre and allocated it to products using direct labour as the allocation basis. The enterprise intends implementing the Activity-Based Costing (ABC) system. The budgeted information for 2022 is as follows: Product A Product B Total R R R Direct materials cost 400 000 800 000 1 200 000 Direct labour cost Overheads: Materials handling 500 000 1 500 000 2 000 000 3 500 000 300 000 Quality control Materials procurement Other overheads Units manufactured Number of inspections Materials movements Number of orders 200 000 500 000 2 500 000 Product A Product B Total 10 000 50 000 60 000 150 100 00 20 120 180 80 40 40 60 160 Other overheads are allocated to individual products based on direct labour costs. 50 250 300 200