II. The Bridgewater Company recently switched to activity based costing ABC. The prior method allocated overhead costs at the rate of $200 per machine hour. The manager of Department J has estimated the following cost drivers and rates: Activity Material Handling Machine setups Utilities Quality Control Cost Drivers Tons of material handled Number of production runs Machine Hours Number of inspections Rate $ 320 $15.000 $ 100 $2.000 During May, Bridgewater purchased and used $400,000 of direct materials at $40 per ton. There were 32 production runs using a total of 48,000 machine hours in May. The manager of Department J needed 48 inspections Required: (a) Calculate the total overhead costs that would have been allocated to production using the prior method (b) Calculate the total overhead costs that would be allocated using Activity-Based Costing