National inc. manufactures two models of cmd that can be used as cell phones, mpx, and digital camcorders. model annual salesin unitshigh f 11,500great p 17,500national uses a volume-based costing system to apply factory overhead based on direct labor dollars. the unit prime costs of each product were as follows: high f great pdirect materials $ 39.50 $ 26.90direct labor $ 19.10 $ 14.70budget factory overhead: engineering and design 2,700 engineering hours $ 486,000quality control 13,130 inspection hours 337,740machinery 34,010 machine hours 541,920miscellaneous overhead 26,690 direct labor hours 132,750total $ 1,498,410national's controller had been researching activity-based costing and decided to switch to it. a special study determined national's two products have the following budgeted activities: high f great pengineering and design hours 1,110 1,590quality control inspection hours 5,790 7,340machine hours 20,430 13,580labor hours 12,150 14,540what is the overhead application rate using the firm's volume-based costing system?