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Required information Bunker makes two types of briefcase, fabric and leather. The company is currently using a traditional costing system with labor hours as the

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Required information Bunker makes two types of briefcase, fabric and leather. The company is currently using a traditional costing system with labor hours as the cost driver but is considering switching to an activity-based costing system. In preparation for the possible switch, Bunker has identified two activity cost pools: materials handling and setup. Pertinent data follow. Number of labor hours Number of material moves Number of setups Fabric Case Leather Case 24,000 11,000 1,073 154 Total estimated overhead costs are $293,300, of which $240,500 is assigned to the materials handling cost pool and $52,800 is assigned to the setup cost pool Required: 1. Calculate the overhead assigned to the leather case line using the traditional costing system based on direct labor hours. 2. Calculate the overhead assigned to the leather case line using ABC. 3. Was the leather case over- or undercosted by the traditional cost system compared to ABC? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate the overhead assigned to the leather case line using the traditional costing system based on direct labor hours. (Do not round intermediate calculations and round your final answer to the nearest whole dollar amount.) Overhead Ansigned Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate the overhead assigned to the leather case line using ABC. (Round activity rates or activity proportions and intermediate calculations to four decimal places. Round your final answer to 2 decimal places.) Overhead Assigned Required: 1. Calculate the overhead assigned to the leather case line using the traditional costing system based on direct 2. Calculate the overhead assigned to the leather case line using ABC. 3. Was the leather case over- or undercosted by the traditional cost system compared to ABC? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Was the leather case over or undercosted by the traditional cost system compared to ABC? Leather Case

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