Somani Corporation has an activity-based costing system with three activity cost pools- Machining, Setting Up, and Other. The company's overhead costs, which consist of equipment depreciation and indirect labor, have been allocated to the cost pools already and are provided in the table below. Activity Cost Pools Machining Setting Up Other Total $54,000 9,000 $27,000 $90,000 3002100 600 3000 $54,300 $11100 $27600 $93,000 Equipment depreciation. Indirect labor Costs in the Machining cost pool are assigned to products based on machine-hours (MHs) and costs in the Setting Up cost pool are assigned to products based on the number of batches. Costs in the Other cost pool are not assigned to products. Data concerning the two products and the company's costs appear below: MHs Batches 4,700 5.300 1700 10.0002.000 Product M8. Product K3 Total 300 Product M8 Product K3 $220,500 $318,900 $109,000 $130,300 $76,100$141,200 Sales (total) Direct materials (total)... Direct labor (total). Required: a. Calculate activity rates for each activity cost pool using activity-based costing b. Determine the amount of overhead cost that would be assigned to each product using activity-based costing. c. Determine the product margins for each product using activity-based costing. 6. CR Corporation has the following estimated costs for the next y $4000 $20,000- Rent on factory building.. Sales salaries... $15,000 .$25,000 $8,000 .$10,000 Production supervisor's salary.... $12,000 Indirect labor CR Corporation estimates that 20,000 labor-hours will be worked during the year. If overhead is applied on the basis of direct labor-hours, the overhead rate per hour will be