Urban Elite Cosmetics has used a traditional cost accounting system to apply quality-control costs uni- formly to all products at a rate of 14.5 percent of direct-labor cost. Monthly direct-labor cost for Satin Sheen makeup is $27,500. In an attempt to more equitably distribute quality-control costs, management is considering activity-based costing. The monthly data shown in the following chart have been gathered for Satin Sheen makeup. Activity Cost Pool Incoming material inspection ............ In-process inspection ........................ Product certification .......................... Required: Cost Driver Type of material ............. Number of units ............. Per order ........................ Pool Rates $11.50 per type ............ .14 per unit ............ 77.00 per order ............ Quantity of Driver for Satin Sheen 12 types 17,500 units 25 orders 1. Calculate the monthly quality-control cost to be assigned to the Satin Sheen product line under each of the following product-costing systems. (Round to the nearest dollar.) 1. Traditional system, which assigns overhead on the basis of direct-labor cost. 2. Activity-based costing. 2. Does the traditional product-costing system overcost or undercost the Satin Sheen product line with respect to quality-control costs? By what amount