ONE: (10 marks) Cocoa Pet Corporation manufactures two models of grooming stations, a standard and a deluxe model. The following activity and cost information has been compiled Number ofNumber ofNumber of Product Setups Components Direct Labor Hours Standard 30 650 Deluxe 750150 Overhead costs$20,000$60,000 1. Assume a traditional costing system applies the $80,000 of overhead costs based on direct labor hours. a) What is the total amount of overhead costs assigned to the standard model? b) What is the total amount of overhead costs assigned to the deluxe model? 2. Assume an activity-based costing system is used and that the number of setups and the number of components is a) What is the total amount of overhead costs assigned to the b) What is the total amount of overhead costs assigned to the c) Explain the difference between the costs obtained from the identified as the activity-cost drivers for overhead. standard model? deluxe model? traditional costing system and the ABC system. Which system provides a better estimate of costs? Why