EXERCISE $10-17$ Capacity Analysis $[\backslash (\backslash$underbrace$\{(1)7]\}\backslash )$ Sound Tech produces wireless headphones. The standard cost for a pair of headphones is shown below: During the most recent year, Sound Tech produced and sold $7,000$ pairs of headphones. Management believes that the denominator level of activity of $15,000$ direct labour$-$hours $(7,500$ pairs of headphones$)$ represents $\backslash (60\backslash \%\backslash )$ of theoretical capacity and $\backslash (80\backslash \%\backslash )$ of practical capacity. Required: $1.$ Calculate the total overhead costs at the following levels of activity: theoretical, practical, denominator, and actual. $2.$ Assuming Sound Tech can sell all of the headphones it can produce for $\backslash (\backslash$$ $200\backslash )$ per pair, calculate the opportunity loss of producing $7,000$ pairs in the most recent year compared to the following capacity utilization alternatives: theoretical, practical, and denominator.