E E9.4 (LO 3), AP Olivander Company's traditional costing system has accommodated only one pool for MOH to date, allocated based on DL hours. After conversing with the production managers, however, the company's owners have gained insights on the ey activities that generate cost in the plant. The three key activities, and the cost vers identified for each, are as follows, along with their budgeted costs and usages the year. Activity Machine setup $120,000 Budgeted Cost Budgeted Quantity of Cost Driver 3,000 production runs a 250,000 $450,000 1,600,000 pounds of material moved 40,000 direct labor hours 8 00 8 Material moves 80,000 Assembly Total Required 1. Calculate the MOH rate under the current traditional costing system with one MOH pool and one cost driver. 2. Calculate the activity-based rates using the three key activities, costs, and cost drivers. 3. Calculate the amount of applied MOH to Job 55 under both the traditional method and the ABC method if the job used three production runs, 20,000 pounds of material, and 340 DL hours. Which allocation is likely more accurate? Explain. Jasina MOH costs using actain-based rates, and evaluare nuofirabilia and calling 81 88 89 90 91 92 93 94 95 96 97 66 98 a​