please answer part C

Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor costs. The president has heard of activity-based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed machining and machine setup. Presented below is information related to the company's operations Standard Custom $50,000 $100,000 Direct labor costs Machine hours Setup hours 1.200 1.200 120 420 Total estimated overhead costs are $289,200. Overhead cost allocated to the machining activity cost pool is $192,000, and $97.200 is allocated to the machine setup activity cost pool (a) Your answer is correct Compute the overhead rate using the traditional (plantwide) approach (Round answer to 2 decimal places, cs. 12.25.) Predetermined overhead rate 192.80 % of direct labor cost Compute the overhead rates using the activity-based costing approach. Machining 80 per machine hour Machine setup $ 180 per setup hour e Textbook and Media Attempts (c) Determine the difference in allocation between the two approaches. Traditional costing Standard Custom $ Activity-based costing Standard $ Custom