Mia Company uses activity-based costing and reports the following. The company budgets 2,000 machine hours and 6,000 direct labor hours for the year. Activity (Cost driver) Budgeted Cost Cutting (machine hours) $ 14,000 Assembly (direct labor hours) 60,000 Total $ 74,000 (a) Compute an overhead activity rate for each activity using activity-based costing. (b) Allocate overhead costs to a product that used 20 machine hours and 15 direct labor hours