Health Us, Inc., uses a traditional product costing system to assign overhead costs uniformly to all its packaged multigrain products. To meet Food and Drug Administration requirements and to assure its customers of safe, sanitary, and nutritious food, Health 'CUS engages in a high level of quality control. Health 'CUs assigns its quality control overhead costs to all products at a rate of 17% of direct labor costs. Its direct labor cost for the month of June for its low calorie breakfast line is $72,000. In response to repeated requests from its financial vice president, Health CUS's management agrees to adopt activity-based costing. Data relating to the low. calorie breakfast line for the month of June are as follows. Overhead Rate Number of Cost Drivers Used per Activity 5.900 pounds Activity Cost Pools Inspections of material received In process inspections FDA certification Cost Drivers Number of pounds Number of servings Customer orders $0.90 per pound $0.33 per serving $12.00 per order 10,000 servings 470 orders Compute the quality control overhead cost to be assigned to the low-calorie breakfast product line for the month of June (1) using the traditional product costing system (direct labor cost is the cost driver), and (2) using activity based costing Traditional product costing Activity based costing Quality control overhead cost to be assigned $ (b). By what amount does the traditional product costing system understate or overstate the low calorie breakfast line