Aerodec, Inc., manufactures and sells two types of wooden deck chairs: Deluxe and Tourist. Annual sales in units, direct labor$-$hours $($DLHS$)$ per unit, and total direct labor$-$hours per year are provided below: Deluxe deck chair: $2,000$ units x $5$ DLHS per unit Tourist deck chair: $10,000$ units x $4$ DLHs per unit Total direct labor$-$hours Costs for direct materials and direct labor for one unit of each product are given below: Costs for direct materials and direct labor for one unit of each product are given below: $10,00040,00050,000$ Activity Cost Pools and $($Activity Measures$)$ Labor$-$related $($direct labor$-$hours$)$ Machine setups $($number of setups$)$ Parts administration $($number of parts$)$ Production orders $($number of orders$)$ Material receipts $($number of receipts$)$ General factory $($machine$-$hours$)$ Deluxe $$25$ $$60$ Direct materials Direct labor $($at $$12$ per DLH$)$ Manufacturing overhead costs total $$800,000$ each year. The breakdown of these costs among the company's six activity cost pools is given below. The activity measures are shown in parentheses. Estimated Overhead Cost $ $80\mathrm{.}000150\mathrm{.}000160,00070,00090,000250,000$ $$800,000$ Deluxe $10,0003,00050$ Expected Activity $10015012,000$ Tourist $40,0002,000$ Tourist $$17$ $$483030060028\mathrm{.}000$ Required: $1.$ Classify each of Aerodec's activities as either a unit$-$level, batch$-$level, product$-$level, or facility$-$level activity. $2.$ Assume that the company applies overhead cost to products on the basis of direct labor$-$hours. Total $50,0005\mathrm{.}0008040075040\mathrm{.}000$ a$.$ Compute the predetermined overhead rate. b$.$ Determine the unit product cost of each product, using the predetermined overhead rate computed in part $(2)($a$)$ above. $3.$ Assume that the company uses activity$-$based costing to compute overhead rates. a$.$ Compute the activity rate for each of the six activities listed above. b$.$ Using the rates developed in part $(3)($a$)$ above, determine the amount of overhead cost that would be assigned to a unit of each product. c$.$ Determine the unit product cost of each product and compare this cost to the cost computed in part $(2)($b$)$ above.