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Smoky Mountain Corporation makes two types of hiking boots - Xtreme and Pathfinder. Data concerning these two product lines appear below: The company has a

Smoky Mountain Corporation makes two types of hiking boots-Xtreme and Pathfinder. Data concerning these two product lines
appear below:
The company has a traditional costing system that applies manufacturing overhead to units based on direct labor-hours. Data
concerning manufacturing overhead and direct labor-hours for the upcoming year appear below:
Estimated total manufacturing overhead
$2,133,600
Estimated total direct labor-hours 101,600 DLHs
Required:
Compute the product margins for Xtreme and Pathfinder under the company's traditional costing system.
The company is considering replacing its traditional costing system with an activity-based costing system that would assign its
manufacturing overhead to the following four activity cost pools (the Other cost pool includes organization-sustaining costs and idle
capacity costs):
Compute the product margins for Xtreme and Pathfinder under the activity-based costing system.
Prepare a quantitative comparison of the traditional and activity-based cost assignments.
Complete this question by entering your answers in the tabs below.
Required 3
Compute the product margins for Xtreme and Pathfinder 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.
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