Harvey, Inc., a home healthcare firm, has been using.a single predetermined overhead allocation rate with direct labor hours as the allocation base to allocate overhead costs. The company president has decided to develop an ABC system to more accurately allocate the indirect costs. She identified two activities related to the total indirect costs$-$travel and information technology $($IT$)$ support. The other relevant details are given below:

$\backslash$table$[[,,,$Estimated quantity of allocation$],[$Activity$,$Allocation base,Estimated costs,base$],[$Travel$,$Miles driven,$$108,000,4,400$ miles$],[$IT Support,Direct labor hours,$70,000,2,600DLHr$