Hi-Tek Manufacturing, Inc., makes two types of industrial component parts--the B300 and the T500. An absorption costing income statement for the most recent period is shown: $ Hi-Tek Manufacturing Inc. Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating loss 02:22:49 1,710,000 1,237,198 472,802 560,000 (87.198) $ Book Print ferences Hi-Tek produced and sold 60,100 units of B300 at a price of $20 per unit and 12,700 units of T500 at a price of $40 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: 3.300 $400,500 $ 120,600 T500 $ 162,000 42100 $ Total 562,500 162,700 Direct materials Direct labor Manufacturing overhead Cost of goods sold $ 1.237,198 The company has created an activity-based costing system to evaluate the profitability of its products Hl.Teks ABC implementation team concluded that $51.000 and $109,000 of the company's advertising expenses could be directly traced to 8300 and T500. respectively. The remainder of the selling and administrative expenses was organization-sustaining in nature. The ABC team also Hit the Finele The company has created an activity-based costing system to evaluate the profitability of its products. Hi-Tek's ABC implementati team concluded that $51,000 and $109,000 of the company's advertising expenses could be directly traced to B300 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 B300 90,900 2227 Manufacturing Overhead $ 210,158 141,040 100,800 60.000 $ 511,998 Activity 500 62.500 250 1 Activity Cost Pool (and Activity Measure) Machining (machine-hours) Setups (setup hours) Product -sustaining (number of products) Other (organization-sustaining costs) Total manufacturing overhead cost 153,480 328 NA Required: 1. Compute the product margins for the B300 and T500 under the company's traditional costing system 2. Compute the product margins for B300 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 1 Required 2 Required) Compute the product margins for the B300 and 1500 under the company's traditional costing system. Round your Intermediate calculation to 2 decimal places and final answers to the nearest wholanlar