Smoky Mountain Corporation makes two types of hiking boots--the Xtreme and the Pathfinder. Data concerning these two product lines appear below: Xtreme Pathfinder Selling price per unit $115.00 $ 85.00 Direct materials per unit $ 63.90 t 63.90 $ 51.00 Direct labor per unit $12.00 $ 10.00 Direct labor-hours per unit 1.2 DLHS 1.0 DLHS Estimated annual . production and sales 28,000 units 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 $2,063,400 overhead Estimated total direct labor- 108.600 DLRS hours 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): Expected Activity Activities and Activity Measures Supporting direct labor (direct labor-hours) Batch setups (setups ) Product sustaining (number of products) Other Total manufacturing overhead Estimated Overhead Cost $ 673,320 520,000 790,000 80,080 $2,063,400 Xtreme Pathfinder Total 33,600 75,000 108,600 280 240 520 1 1 NA NA 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 Required Required 2 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.) Show less Xtreme Pathfinder Total Product margin Required 2 > Smoky Mountain Corporation makes two types of hiking boots--the Xtreme and the Pathfinder Data concerning these two product lines appear below. Xtreme Pathfinder Selling price per unit $115.00 $ 85.00 Direct materials per unit $ 63.90 $ 51.00 Direct labor per unit $ 12.00 $ 10.00 Direct labor-hours per 1.2 DLHs 1.0 DLHS unit Estimated annual production and sales 28,000 units 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 s2.063,400 Overhead Estimated total direct labor- 108,600 DLES hours 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 Total manufacturing overhead Cost Estimated Expected activity Overhead Cost Xtreme Pathfinder Total $ 673,320 33,600 75,000 108,600 520,000 280 240 520 790,000 80,000 NA $2,063,400 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 Required Required 2 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 $ 0 Activities and Activity Measures Supporting direct labor (direct labor-hours) Batch setups (setups) Product sustaining (number of products) Other Total manufacturing overhead cost Estimated Expected Activity Overhead Cost Xtreme Pathfinder Total $ 673,320 33,600 75,000 108,600 520,000 280 240 520 790,000 80,080 NA $2,063, 400 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 Required Required 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.) Show less Xtreme Pathfinder Total % of % of Total Amount Amount Amount Traditional Cost System f 1% 1 % 9 Total Amount Amount Total cost assigned to $ 0 IS products Total Xtreme % of Total Amount Amount Pathfinder % of Total Amount Amount Amount Activity-Based Costing System Direct costs: 29 T1919 Indirect costs: 1919 20 $ 0 ||$ 0 products Costs not assigned to products: Total cost