Formula: Divide; Cell Referencing BE5.12-Using Excel to Calculate Activity-Based Costing Rates and Activity Levels PROBLEM Spin Cycle Company uses three activity pools to apply overhead to its products. Each activity has a cost driver used to allocate the overhead costs to the product. The activities and related overhead costs are as follows 9 10 Activities Estimated Overhead 11 Product design $ 40,000 12 Machining 300,000 13 Material handling 100,000 14 15 The cost drivers and estimated use are as follows 16 17 18 Activity Cost Pools Activities Estimated Use of Cost Drivers Per Activity 19 Product design Number of product 10 20 Machining 2 Material handling Number of set-ups 3 4 changes Machine hours 150,000 100 Student Work Area Required: Provide input into cells shaded in yellow in this template. Use mathematical formulas with cell references to the Problem area as indicated a. Calculate the predetermined overhead rate for each activity Cost Pool Product design Machining Material handling Predetermined Overhead Rates per per per b. Classify each of these activities as unit-level, batch-level, product- level, or facility-level. Activity Product design Machining Activity Level 5 16 Material handling