Exercise 7-9 Carson Weeks has been studying his department's profitability reports for the past six months. He has just completed a managerial accounting course and is beginning to question the company's approach to allocating overhead to products based on machine hours. The current department overhead budget of $771,680 is based on 35,000 machine hours. In an initial analysis of overhead costs, Carson has identified the following activity cost pools. Cost Pool Product assembly Machine setup and calibration Product inspection Raw materials storage Expected Cost $ 283,500 236,800 126,720 Expected Activities 35,000 Machine hours 1,600 setups 1,760 batches 542,000 pounds 124, 660 71,680 Carson Weeks is taking the next step in his exploration of activity-based costing and wants to examine the overhead costs that would be allocated to two of the department's four products. He has gathered the following budget information about each product. Driver Usage Machine hours Setups Batches Pounds of raw materials T76 11,800 3FS 38 15 10,000 10,000 e the total overhead allocated to each component (a) Calculat round final answers to 0 decimal places, e.g. 5,275.) nder the traditional method using machine hours as the overhead application base. (Round overhead rates to 2 decimal places, e.g. 5.27 and Component 3F5 Component T76 Total Overhead allocated (b) Calculate the total overhead allocated to each component under activity-based costing. (Round overhead rates to 2 decimal places, e.g. 5.27 and round final answers to 0 decimal places, e.g. 5,275.) Component 3F5 Component T76 Total Overhead allocated LINK TO TEXT