Adelberg Company has two products: A and B. The annual production and sales of Product A is 1,700 units and of Product B is 1,100 units. The company has traditionally used direct labor-hours as the basis for applying all manufacturing overhead to products. Product A requires 0.3 direct labor-hours per unit and Product B requires 0.6 direct labor-hours per unit. The total estimated overhead for next period is $98,875. The company is considering switching to an activity-based costing system for the purpose of computing unit product costs for external reports. The new activity-based costing system would have three overhead activity cost pools--Activity 1, Activity 2, and Order Size--with estimated overhead costs and expected activity as follows: Expected Activity Activity Cost Pools Activity 1 Activity 2 Order Size Total Estimated Overhead Costs $ 30,528 17,385 50,872 $ 98,785 Product A 1,000 1,700 510 Product B 600 200 660 Total 1,600 1,900 1,170 (Note: The Order Size activity cost pool's costs are allocated on the basis of direct labor-hours.) The predetermined overhead rate under the traditional costing system is closest to: Multiple Choice $9.15 per DLH $43.48 per DLH $84.43 per DLH $19.08 per DLH