Brown Inc. manufactures office chairs. Presently the company assigns overhead to each product using direct labour hours to calculate a plantwide rate. The following information is available for the upcoming year: Estimated facto overhead $960,000 Estimated direct labour hours 20.000 The company is considering implementing an activity-based costing system and has identified three activities. Resource drivers are used to assign costs to each activity. The following information about each activity is available: Estimated Total Activity Cost Driver Estimated COStS Driver Material handlm- $280,000 Parts m- $320,000 Machine hours $360,000 Direct labour hours One of the models that the company produces uses the following resources: - -r- Direct labour hours Using the above information, answer the following questions