Smoky Mountain Corporation makes two types of hiking bootsthe Xtreme and the Pathfinder. Data concerning these two product lines appear below:
Smoky Mountain Corporation makes two TYPES of hiking boots - the Xtreme and the Pathfinder . Data concerning these two product LINES SQUFar below .` XTREME Pathfinder Selling Price per unit 126 . BE` 91 . BE Direct materials per unit 53 . 20 51 . BE Direct Labor per unit 11 . 78 9 . BE Direct Labor - hours per unit 1 . 3 OLHE 1 . BOLHS Estimated annual production and Sales 21 , 908 units 75 , age units The company has a traditional costing system In which manufacturing overhead Is applied to units based on direct labor-hours . Late concerning manufacturing overhead and direct labor-hours for the upcoming year appear below .` Estimated total manufacturing overhead $ 2 , 258 , 680 Estimated total direct labor - hours 102 , 38 B OLHE* 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 casting 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 COSTE !` Estimated EXPECTEd Activity Activities and Activity HEESURE=\\ Overhead Cost xtreme Pathfinder\\ Total Supporting direct Labor [ direct Labor - hours ) JET , 25 8\\ 27 , 308\\ 102 , 3BE Batch setups [ setups !` 727, 80 0 Product Sustaining ( number of products'!) ETE , SEE other\\ $1 , 350 NA NA NA Total manufacturing overhead cost $ 2 , 258 , 60 0 _ 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 Z Required ?` Compute the product margins for the Xtreme and the Pathfinder products under the company's traditional costing SYSTEM . Found your intermediate Calculations to 2 decimal FECES and find answers to the nearest whole dollar amount . ] KATEME Pathfinder Total Product margin\\Complete this question by entering your answers in the tabs below. Required 1 Required 2 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.) Xtreme Pathfinder Total Product margin Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 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 Total o of lo of Amount Total Amount Amount Total Amount Amount Traditional Cost System Total cost assigned to products Xtreme Pathfinder Total 0 % 4% of Amount Total Amount Amount Total Amount Amount Activity-Based Costing System Direct costs: Indirect costs: Total cost assigned to products