please answer fully and show work. typed out responses would also be preferred

17 Harbor Wheel Company manufactures two tractor wheels: the Ultimate which sells for $1,600 and the Standard, which sells for $1,300. The company currently uses traditional costing and assigns overhead on the basis of direct labor hours (DLH). Total estimated overhead was $7,500,000 and estimated total direct at of labor hours were 312,500. Management is considering using activity-based costing to compare overhead allocations before making a final decision. Current Traditional Costing: Ultimate Standard Direct materials per wheel $750 $380 Direct labor cost per wheel $130 $90 Direct labor hours per wheel 4 3 Total units produced 26,000 14,000 Activity-Based Costing: Activity Cost Pools Cost Drivers Estimated Overhead Expected Use of Cost Drivers Ultimate Standard Purchasing purchase orders $1,800,000 40,000 17,000 23,000 Machine setups machine setups 700,000 17,500 5,000 12,500 Machining machine hours 4,200,000 120,000 75,000 45,000 Quality Control inspections 800,000 32,000 15,000 17,000 total $7,500,000 INSTRUCTIONS Using the information above, answer the questions in the text box below. Show your work. Moodle A A- B 1 Time left 2:19:41 1) Using traditional costing, what is the amount of manufacturing overhead applied to one Ultimate wheel and to one Standard wheel? (2 pts) 2) Using traditional costing, what is the total manufacturing cost of a single Ultimate wheel? (2 pts) 3) Calculate the ABC Overhead rates for each cost pool: (2 pts) 4) Using Activity-based Costing, what is the amount of manufacturing overhead assigned to a single Ultimate Wheel? (2 pts) 5) Using Activity-based costing, what is the total manufacturing cost of a single Standard wheel? (2 pts)