Required: Co 1. Compute the predetermined overhead rate using direct labor-hours as the basis for allocating overhead costs to products. Compute the unit product cost for one unit of each model. 2. An intern suggested that the company use activity-based costing to cost its products. A team was formed to investigate this idea. It came back with the recommendation that four activity cost pools be used. These cost pools and their associated activities are listed as follows: Activity Cost Pool and Activity Mansure Purchase orders (number of orders).. Rework requests (number of requests) Product testing (number of tests). Machine-related (machine-hours). Expected Activity Estimated Overhead Cost Flexible Rigid Total $ 20,000 100 300 400 10,000 60 140 200 210,000 900 1,200 2,100 360,000 1,500 2,500 4,000 $600,000