HiTek Manufacturing, Inc., makes two types of industrial component parts the 3300 and the T500. An absorption costing Income statement for the most recent period is shown Cost of good old Nett ing loss HITek produced and sold 70.000 units of 8300 at a price of S20 per unit and 17,500 units of TSOO at a price of $40 per unit. The company's traditional cost system allocates manufacturing overhead to products using a planwide overhead rate and direct labor dollars as the allocation base. Additional information relating to the company's two product lines is shown below 5 436,3005291,700 5 5 200,000 $104.000 BODO 304,00 Diret La Manat acturing overhand Coat of goods sold $1,600,000 The company has created an activity based costing system to evaluate the profitability of its products. Hi Teks ABC implementation team concluded that $50.000 and $100,000 of the company's advertising expenses could be directly traced to 9300 and T500 respectively. The remainder of the selling and administrative expenses was organization sustaining in nature. The ABC team also distributed the company's manufacturing overhead to four activities as shown below. Activity Cout Pool and Activity Man Nhing machine-hours) Retivity 50.000 25000 $ 233,500 Prodututa in number of producta Oh organization-autaining centa) Total manufacturing a nd coat $ 60,000 Required: 1. Compute the product margins for the B300 and T500 under the company's traditional costing system 2. Compute the product margins for 300 and T500 under the activity based costing system 3. Prepare a quantitative comparison of the traditional and activity based cost assignments Complete this question by entering your answers in the tabs below. Required? Required Compute the product margins for the 3300 and TSG under the company's tradicional costing system 3.300 T100 T otal