Show Attempt History Current Attempt in Progress 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 costing 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 Direct labor costs Machine hours Setup hours Standard $50,000 1.500 90 Custom $100.000 1.500 360 Total estimated overhead costs are $313,500. Overhead cost allocated to the machining activity cost pool is $210,000, and $109,500 is allocated to the machine setup activity cost pool. (a Your answer is incorrect Compute the overhead rate using the traditional (plantwide) approach(Round answer to 2 decimal places, eg, 12.25) Predetermined overhead rate 360 % of direct labor cost e Textbook and Media Attempts: 1 of 5 used Submit Answer Save To Local