Oriole, Inc, decided to implement the activity-based costing aporoach and was quite successful in its use. However, the controller is wondering if instead of only two activity cost pools, they should expand to three activity cost pools based on the following: The estimated overhead of $448,200 is allocated as follows: machining activity cost pool $239,040, machine set up $169,320 and packaging $39,840 (1) Determine the cverhead rates using the activityrbased costing approsch with three cost pools. (Round answers to 2 decimal ploces, es. 15.25 . (2) Calculate the overhead allocation for the family model and the deluxe model using three activity cost pools. What is the difference in allocation between two activity cost pools and three activity cost pools? Is the difference in allocation worth using the third activity cost pool? Difference The additional cost pool the overhead cost allocation significantly