Goltz Company manufactures three products in its plant: X, Y, and Z. Unit costs and machine hour usage for the three products are: Direct materials Direct labor Machine hours $28 $25 $40 S35 1.5 $75 S50 Budgeted production (units) 20,000 12,000 3,000 Assume that Goltz uses a traditional method of overhead allocation, based on direct labor cost Budgeted overhead for the period is $2,000,000 Compute the unit cost of production for products X,Y, and Z. b) Now assume that Goltz uses an ABC system with three cost drivers: machine hours, setups, and number of parts. Product X requires two setups per period, and requires six distinct parts. Product Y requires four setups, and ten parts. Product Zrequires ten setups and sixteen parts. Cost pools: Setups Machine hours Parts 400,000 1,300,000 2,000,000 Compute the unit cost of production for products X, Y, and Z using the ABC system Identify several possible advantages or disadvantages to Goltz of using the ABC method. (Limit 200 words)