Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor costs. The president has heard of activity based couting and wants to see how the results would differ if this system were used. Two activity cost pools were developed: machining and machine setup. Presented below is information related to the company's operations Standard Custom Direct labor costs $50,000 $100,000 Machine hours 1,200 1,200 Setup hours 420 Total estimated overhead costs are $294,000. Overhead cost allocated to the machining activity coat pool is $192,000, and $102,000 in allocated to the machine setup activity come pool Compute the overhead rate using the traditional plantwide) approach. (Round answer to 2 decimal places, eg. 12.25.) Predetermined overhead rate % of direct loborcom Compute the overhead rates using the activity-based costing approach Machining per machine hour Machine setup $ per setup hour Determine the difference in location between the two approaches Traditional.costing Standard Custom Activity-based costing uncements Total estimated overhead costs are $294,000. Overhead cost allocated to the machining activit Compute the overhead rate using the traditional (plantwide) approach. (Round answer to 2 d. Predetermined overhead rate % of direct labor cost Compute the overhead rates using the activity-based costing approach. Machining per machine hour Machine setup per setup hour Determine the difference in allocation between the two approaches. Traditional costing Standard Custom $ Activity-based costing Standard $ Custom Click if you would like to Show Work for this question: Open Show Work