3b) Based on new number of orders in Requirement 2, what is the product margin under the traditional costing system when the data are corrected? (Enter a loss as a negative amount.)

3. OfficeMart has found an error in its data. The percentage of selling and administrative overhead attributable to processing orders should be changed to 25% from 45% and the percentage attributable to supporting customers should be changed to 45% from 25%. . B D E 1 Chapter 7: Applying Excel 2 3 Data 4 $ Manufacturing overhead Selling and administrative overhead 500,000 300,000 5 $ 6 7 Other Assembling Units 50% Processing Orders 35% Supporting Customers 5% 8 10% 9 Manufacturing overhead Selling and administrative overhead Total activity 10% 25% 45% 20% 10 1,000 250 100 11 units orders customers 12 1 customer 13 orders 13 OfficeMart orders: 14 Customers 15 Orders 16 Number of filing cabinets ordered in total 17 Selling price 18 Direct materials 19 Direct labor 80 units S 595 S 180 $ 50