Ayala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-based) and an activity-based costing system. Both the traditional and the activity-based costing systems include direct materials and direct labor costs.

Products	Sales Revenue	Traditional	ABC
Product 540X	198,200	54,440	45,520
Product 137Y	158,700	49,090	39,290
Product 249S	83,190	11,290	30,010

Instructions a) For each product line, compute operating income using the traditional costing system. b) For each product line, compute operating income using the activity-based costing system c) Using the following formula, compute the percentage difference in operating income for each of the product lines of Ayala:{Operating Income (ABC)-Operating Income traditional cost)]divided operating Income (traditional cost)(round the percentage to two decimals).