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Hi-Tek Manufacturing, Incorporated, makes two types of industrial component parts-the B300 and the T500. An absorption costing income statement for the most recent period is

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Hi-Tek Manufacturing, Incorporated, makes two types of industrial component parts-the B300 and the T500. An absorption costing income statement for the most recent period is shown: H.Tek produced and sold 60,400 units of B300 at a price of $20 per unit and 12.700 units of T500 at a price of $39 per unit The company's traditionel cost system allocates manufacturing overheed to products using a plantwide overhead rate and direct labor dollars as the allocation base. Additional information relating to the compony's two product lines is shown below: The company has created an activity-based costing system to evaluate the proftablity of its products. Hh-Tek's ABC implementation team concluded that $59,000 and $106,000 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-sustalining in nature. The ABC team also distributed the compony's manufacturing overheod to four activities as shown below: Required: 1. Compute the product margins for the B300 and T500 under the compary's traditional costing syatem. 2. Compute the produxt margins for B300 and T500 under the actilly-based costing system. 3. Prepare a quantiative comperison of the traditional and activily-based cost assignments. Complete this question by entering your answers in the tabs below. Required: 1. Compute the product margins for the 8300 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. Compute the product margins for the B300 and T500 under the company's traditional costing system. (Round your Intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount.) 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. Compute the product margins for B300 and T500 under the activity-based costing system. (Negative product margins should be indicated by a minus sign. Round your intermediate calculations to 2 decimal places.) Prepare a quantitative comparison of the traditional and activity-based cost assignments. (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.)

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