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Bonita, Inc. produces two types of gas grills: a family model and a deluxe model. Bonita's controller has decided to use a plantwide overhead rate based on direct labor costs. The president of the company recently heard of activity-based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed: machining and machine setup. Presented below is information related to the company's operations: Family Model Deluxe Model $76,800 $153,600 Direct labor costs Machine hours Setup hours 2.000 2,000 200 800 Total estimated overhead costs are $460,800, Overhead cost allocated to the machining activity cost pool is $276,480 and $184,320 is allocated to the machine setup activity cost pool ta) Your answer is correct Compute the overhead rate using the traditional (plantwide) approach. (Round answer to 2 decimal places, eg. 15.25.) Overhead rate $ e Textbook and Media Attempts: 2 of 3 used (b) Compute the overhead rates using the activity based costing approach. (Round answers to 2 decimal places, os. 15.25) Overhead Rate Machining $ per hour Machine set up 5 per hour