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Exercise 18-2 (Part Level Submission) Ayala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-bae) and an
Exercise 18-2 (Part Level Submission) Ayala Inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-bae) and an activity-based costing system. Both the traditional and the activity-based costing systems include direct materials and direct labor costs. Total Costs Sales Revenue Products Product 540X Product 137Y Product 249S Traditional ABC $180,000 160,000 70,000 $55,000 $50,000 50,000 35,000 15,000 35,000 Your answer is correct. For each product line, compute operating income using the traditional costing system. Product 540X Product 137Y Product 249S 125000 110000 55000
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