The following overhead cost information is available for the Herbert Love Corporation for the prior year: activity allocation base overhead cost purchasing # of purchase orders $400,000 receiving # of shipments received 100,000 machine setups # of setups 400,000 quality control #of inspections 150,000 During the year, 8,000 purchase orders were issued; 25,000 shipments were received; 4,000 machine setups occurred; and 7,500 inspections were conducted. Employees worked a total of 10,000 hours on production. The corporate managers are trying to decide whether they should use a traditional overhead allocation method based on direct labor hours, or switch to an activity-based costing system. Assume that a batch of products has the following specifications. direct labor hours 7 purchase orders 7 shipments received 10 machine setups 3 inspections 3 Required A. Determine the overhead allocation for the batch under the traditional overhead allocation based on direct labor hours. $ B. Determine the overhead allocation for the batch under activity-based costing