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In: AccountingSt. James, Inc., currently uses traditional costing procedures,applying $800,000 of overhead to products Beta and...St. James, Inc., currently uses traditional costing procedures,applying $800,000 of overhead to products Beta and Zeta on thebasis of direct labor hours. The company is considering a shift toactivity-based costing and the creation of individual cost poolsthat will use direct labor hours (DLH), production setups (SU), andnumber of parts components (PC) as cost drivers. Data on the costpools and respective driver volumes follow.The overhead cost allocated to Beta by usingactivity-based costing procedures would be:Pool 1 Pool 2 Pool 3Beta 1200 45 2250Zeta 2800 55 750Pool Cost $160,000 $280,000 $360,000