1.. Activity-based costing is used for the manufacturing division of an automobile company. The company has identified three activities and the related cost drivers for indirect production costs. Activity Activity 1 Activity 2 Activity 3 Cost Driver Direct materials cost Direct labor cost Kilowatt hours Three types of products are produced. Direct costs and cost-driver activity for each product for a month are as follows: Direct materials cost Direct labor cost Direct labor hours Kilowatt hours Product A $75,000 $6,000 2,000 150,000 Product B $50,000 $1,000 1,000 200,000 Product C $125,000 $3,000 2,000 150,000 Indirect production costs for the month are as follows: Activity 1 Activity 2 Activity 3 Total $30,000 20,000 16,000 $66,000 Required: Assume indirect production costs are allocated to each product using the cost driver: direct labor hours. A) Compute the indirect production costs allocated to each product using the ABC system. (12 pts) B) Compute the indirect production costs allocated to each product using a traditional system (4 pts) C