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Smoky Mountain Corporation makes two types of hiking boots Xtreme and the Pathfinder Data conceming these two product lines appear below: Xtreme Pathfinder Selling price
Smoky Mountain Corporation makes two types of hiking boots Xtreme and the Pathfinder Data conceming these two product lines appear below: Xtreme Pathfinder Selling price per unit 121.00 85.00 64.90 51.00 Direct materials per unit Direct labor per unit 20 8.00 Direct labor-hours par unit 1.4 DLHs 1.0 DLHs 70,000 units Estimated annual production and sales 27,000 units The company has a traditional costing system in which manufacturing overhead is applied to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: Estimated total manufacturing owerhead S2,156,000 107,800 DLHs Estimated total direct labor hours Required 1. Compute the product margins tor the Xtreme and the PathfInder products under the companys traditional costing system. (Do not round your Intermediate calculations. xtreme Pathfinder Total Product margin
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