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H-Tek Manufecturing, Incorpotated. makes two industrial component parts -8300 and 1500 . An absorption costing incone statement for the most recent period is shown below

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H-Tek Manufecturing, Incorpotated. makes two industrial component parts -8300 and 1500 . An absorption costing incone statement for the most recent period is shown below H. Tek produced and sold 60,400 units of 8300 at a price of $19 per un and 12.600 units of 1500 ot a price of $40 per unit The companys 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 Anes is shown felow The company created an activity-based costing system to evaluate the proftability of its products. Hi-Teks. ABC implementation team concluded that $57,000 and $106,000 of the companys odvertising expenses could be directly traced to B300 and 1500 . respectively The remainder of the selling and administrative expenses was organiration-sistaining in nature The ABC tesm also distributed the company's manufacturing overheod to four activities as shown betow: 1. Compute the product margins for 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 company's traditional costing system. Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount. 1. Compute the product margins for 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. Note: Negative product margins should be indicated by a minus sign. Round your intermediate calculations to 2 decimal places: 5

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