S 17-14 (Algo) Activity-based costing and overhead cost allocation LO P3 Mia Company uses activity-based costing and reports the following for this year. Activity Budgeted Cost Activity Cost Driver Budgeted Activity Usage Cutting $ 15,400 Machine hours (MH) 2,200 machine hours Assembly 62,000 Direct labor hours (DLH) 6,200 direct labor hours Total $ 77,400 (a) Compute an activity rate for each activity using activity-based costing. (b) Allocate overhead costs to a job that uses 21 machine hours and 16 direct labor hours