Compute the product margins for the B$300$ and T$500$ under the company's traditional costing system.

Compute the product margins for B$300$ and T$500$ under the actlvity$-$based costing system.

Prepare a quantitatlive comparlson of the traditional and actlvity$-$based cost assignments.

Complete this question by entering your answers in the tabs below.

Prepare a quantitative comparison of the traditional and activity$-$based cost assignments.

Note: Round your intermediate calculations to $2$ decimal places and "Percentage" answers to $1$ decimal place and and other answers to the nearest whole dollar amounts.

$\backslash$table$[[,$B$300,$T$500,$Total Amount$],[,,\%$ of$,,\%$ of$],[,$Amount,,Amount,$],[$Traditional Cost System$],[,,,,,],[,,,,,],[,,,,,],[$Total cost assigned to products,$5,,$$$,,$$$],[$Total cost$,,,,\_,$$$],[$B$300,$T$500,$Total Amount$],[],[,\%$ of$,,\%$ of$],[$Amount$,\backslash$table$[[$Total$],[$Amount$]],$Amount,$\backslash$table$[[$Total$],[$Amount$]]],[$Activity$-$Based Costing System$],[$Direct costs:$],[,,,,,],[,,,,,],[,,,,,],[$Indirect costs:$],[,,,,,],[,,,,,],[,,,,,],[$Total cost assigned to products,$$,,$$$,,0],[$Costs not assigned to products:$],[,,,,,],[,,,,,],[$Total cost$,,,,,$$$]]$ HI$-$Tek Manufacturing. Incorporated, makes two types of Industrial component parts$-$the B$300$ and the T$500.$ An absorption costing

Income statement for the most recent perlod is shown:

HI$-$Tek produced and sold $60,100$ units of B$300$ at a price of $$20$ per unit and $12,700$ units of T$500$ at a price of $$39$ per unit. The

company's traditional cost system allocates manufacturing overhead to products using a plantwide overhead rate and dlrect labor

dollars as the allocation base. Additional Information relating to the company's two product lines is shown below:

The company has created an actlivity$-$based costing system to evaluate the profitability of its products. HI$-$Tek's ABC implementation

team concluded that $$51,000$ and $$105,000$ of the company's advertising expenses could be directly traced to B$300$ and T$500.$

respectlvely. The remainder of the selling and administratlve expenses was organization$-$sustalning In nature. The ABC team also

distributed the company's manufacturing overhead to four actlvitles as shown below.

Required:

Compute the product margins for the B$300$ and T$500$ under the company's traditional costing system.

Compute the product margins for B$300$ and T$500$ under the actlvity$-$based costing system.

Prepare a quantitatlive comparlson of the traditional and actlvity$-$based cost assignments.

Complete this question by entering your answers in the tabs below.

Compute the product margins for B$300$ and T$500$ under the activity$-$based costing system.

Note: Negative product margins should be indicated by a minus sign. Round your intermediate calculations to $2$ decimal

places.HI$-$Tek Manufacturing, Incorporated, makes two types of Industrial component parts$-$the B$300$ and the T$500.$ An absorption costing

Income statement for the most recent perlod is shown:

$HI-$ Tek produced and sold $60,100$ units of B$300$ at a price of $$20$ per unit and $12,700$ units of T$500$ at a price of $$39$ per unit. The

company's traditional cost system allocates manufacturing overhead to products using a plantwide overhead rate and direct labor

dollars as the allocation base. Additional Information relating to the company's two product lines is shown below.

The company has created an actlvity$-$based costing system to evaluate the profitability of its products. HI$-$Tek's ABC implementation

team concluded that $$51,000$ and $$105,000$ of the company's advertising expenses could be directly traced to B$300$ and T$500.$

respectlvely. The remalinder of the selling and administratlve expenses was organization$-$sustalning In nature. The ABC team also

distrlbuted the company's manufacturing overhead to four actlittles as shown below:

Required:

Compute the product margins for the B$300$ and T$500$ under the company's traditional costing system.

Compute the product margins for B$300$ and T$500$ under the actlvity$-$based costing system.

Prepare a quantitative comparison of the traditional and actlvity$-$based cost assignments.

Complete this question by entering your answers in the tabs below.

Compute the product margins for the B$300$ and T$500$ under the company's traditional costing system.

Note: Round your intermediate calculations to $2$ decimal places and final answers to the nearest whole dollar amount.