Smoky Mountain Corporation makes two types of hiking boots-the Xtreme and the Pathfinder. Data concerning these two product lines appear below: Selling price per unit Xtreme Pathfinder $ 126.00 $ 91.00 Direct materials per unit $ 63.20 $ 51.00 Direct labor per unit Direct labor-hours per unit Estimated annual production and sales $ 11.70 1.3 DLHS 21,000 units $ 9.00 1.0 DLES 75,000 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 overhead Estimated total direct labor-hours $2,250,600 102,300 DLH Required: 1. Compute the product margins for the Xtreme and the Pathfinder products under the company's traditional costing system. 2. 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): Activities and (Activity Measures) Supporting direct labor (direct labor-hours) Batch setups (setups) Product sustaining (number of products) Other Estimated Overhead Cost $ 767,250 722,000 670,000 91,350 Expected Activity Xtreme Pathfinder Total 27,300 75,000 210 170 1 1 102,300 380 2 NA NA NA Total manufacturing overhead cost $ 2,250,600 Compute the product margins for the Xtreme and the Pathfinder products 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 3 ces Compute the product margins for the Xtreme and the Pathfinder products under the company's traditional costing system. (Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount.) Product margin Xtreme Pathfinder Total Required 1 Required Required 3 Compute the product margins for the Xtreme and the Pathfinder products under the activity-based costing system. (Round your intermediate calculations to 2 decimal places.) Product margin Xtreme Pathfinder Total 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.) Xtreme Pathfinder % of % of Total Amount Total Amount Amount Amount Total Amount Traditional Cost System Total cost assigned to products $ 0 $ $ Xtreme Pathfinder Amount % of Total: Amount % of Total Amount Total Amount Amount Activity-Based Costing System Direct costs: Indirect costs: Total cost assigned to products Costs not assigned to products: $ 0 $ 0 $ 0 Total cost $