EcoFabrics has budgeted overhead costs of $1,001,700. It has allocated overhead on a plantwide basis to its two products (wool and cotton) using direct labor hours which are estimated to be 477,000 for the current year. The company has decided to experiment with activity-based costing and has created two activity cost pools and related activity cost drivers. These two cost pools are cutting (cost driver is machine of setups). Overhead allocated to the cutting cost pool is $381,600 and $620,100 is allocated to the design cost pool. Additional information related to these pools is as follows. Machine hours Number of setups Wool Cotton Total 106,000 106,000 212,000 1,060 530 1,590 Your answer is correct. Calculate the overhead rate using activity based costing. (Round answers to 2 decimal places, eg. 12.25) Overhead rates for activity-based costing Cutting $ 18 Design $ 390 per machine hour per setup e Textbook and Media Attempts: 1 of 3 used (a2) * Your answer is incorrect. Determine the amount of overhead allocated to the wool product line and the cotton product line using activity-based costing Cotton product line Wool product line 572400 Overhead Allocated $ $ 375000