Francis Manufacturing Company manufactures two products, base guitars and electric keyboards. The company's overhead costs consist of setting up machines, $2,400,000; machining, $5,400,000; and inspecting, $1,800,000. Information on the two products and their estimated use of cost drivers is as follows: Base Guitars Electric Keyboards Direct labor hours 15,000 25,000 Machine setups 600 400 Machine hours 24,000 26,000 Inspections 800 700 1. What amount of overhead will the company assign to base guitars using activity-based costing (ABC)? (5 points) Answer: Calculation (You must show your calculation to receive credit): 2. What amount of overhead would the company assign to base guitars if the company used traditional costing based on machine hours? (4 points) Answer: Calculation (You must show your calculation to receive credit): 3. What is the primary advantage of using ABC rather than the traditional approach to assigning overhead costs? Explain. (3 points) 4. Identify three stakeholders who are impacted by the company's decision to apply activity-based costing (ABC) rather than the traditional approach to assigning overhead costs. (3 points)