Hakasa's budgeted direct labor cost for the year equals			$203,000
The following table provides the details on the cost pools within the overall manufacturing overhead costs.
Cost Pools	Activity costs	Cost drivers	Volume of cost drivers
Machine setup	$198,000	Setup hours	2,000
Materials handling	$168,000	Pounds of materials	21,000
Electric Power	$40,000	Kilowatt-hours	40,000
The following information pertains to the production of Deluxe and Regular, just 2 products out of many products manufactured by Hakasa.
		Deluxe	Regular
Number of units produced		4,000	20,000
Direct materials cost		$31,000	$33,000
Direct labor cost		$33,000	$33,000
Number of setup hours		200	200
Pounds of materials used		1,000	2,000
Kilowatt-hours consumed		4,000	4,000
Required:
a) Calculate the unit cost of Deluxe and Regular under the current volume based costing system
b) Calculate the activity cost rates for the three cost pools
c) Calculate the unit cost of Deluxe and Regular under the proposed Activity Based Costing system
d) Calcualte the extent of "under-costing" or "overcosting (as the case may be) for both products