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 Direct materials per unit Direct labor per unit Direct labor-hours per unit Estimated annual production and sales Xtreme $ 115.00 $ 63.90 $ 12.00 1.2 DLHS 28,000 units Pathfinder $ 85.00 $ 51.ee $ 10.00 1.2 DLHS 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: 1 Estimated total manufacturing overhead Estimated total direct labor-hours $ 2,063,400 108,600 DLHS 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) Estimated Expected Activity Activities and Activity Measures Overhead Cost Xtremo Pathfinder Total Supporting direct labor (direct labor hours) 5 673,320 33,600 75,000 108.600 Batch setups (setups) 520,000 280 240 52e Product sustaining (number of products) 790,000 1 Other 89,080 NA NA NA Total manufacturing overhead cost $ 2,063,400 1 2 Compute the product marains for the Xtreme and the Pathfinder products under the activity based costing system Supporting direct lapor (aarect lapor-nours) Batch setups (setups) Product sustaining (number of products) Other Total manufacturing overhead cost 3 673,320 520,000 790,000 80,089 $ 2,063,400 33,00 280 1 NA 15, 240 1 NA 108,00 520 2 NA 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 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.) Pathfinder Total Product margin Xtreme Supporting airect labor (direct labor-hours) Batch setups (setups) Product sustaining (number of products) Other Total manufacturing overhead cost > 6/3, 320 520,000 790,000 80,880 $ 2,063, 480 33,00 280 1 NA 5, hd 240 1 NA 108,00 520 2 NA 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 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 Total Xtreme % of Amount Total Amount Pathfinder % of Amount Total Amount Amount Traditional Cost System % % % 96 % Total cost assigned to products Xtreme Pathfinder Total % of % of Amount Total Amount Amount Total Amount Amount Activity-Based Costing System Direct costs % % RR % % Indirect costs % OR R % % 96 % Total cost assigned to products Costs not assigned to products Total cost