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Plata Company produces two products: a mostly handcrafted softleather briefcase sold under the label Maletin Elegant and aleather briefcase produced largely through automation and soldunder the label Maletin Fina. The two products use two overheadactivities, with the following costs: Setting up equipment $ 6,000Machining 19,000 The controller has collected the expected annualprime costs for each briefcase, the machine hours, the setup hours,and the expected production. Elegant Fina Direct labor $9,000$3,000 Direct materials $3,000 $3,000 Units 3,000 3,000 Machinehours 500 4,500 Setup hours 100 100 Required: 1. ConceptualConnection: Do you think that the direct labor costs and directmaterials costs are accurately traced to each briefcase? Explain.2. Calculate the consumption ratios for each activity. Round youranswers to one decimal place. Elegant Fina Machining SetupsCalculate the overhead cost per unit for each briefcase by using aplantwide rate based on direct labor costs. Round to the nearestcent. (Note: Do not round intermediate calculations.) Elegant $ perbriefcase Fina $ per briefcase ased on your calculations abovewhich of the following statements is correct? More machine andsetup costs are assigned to Elegant than Fina. T or F? ConceptualConnection: Calculate the overhead cost per unit for each briefcaseby using overhead rates based on machine hours and setup hours.Round your answers to the nearest cent. Elegant $ per unit Fina $per unit