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 $132.00 $ 64.60 $ 9.60 1.2 DLHS 24,000 units Pathfinder $ 94.00 $ 53.00 $ 8.00 1.0 DLHS 70,000 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 $ 2,470,000 98,800 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 Xtreme Pathfinder Supporting direct labor (direct labor-hours) 642,200 28,800 70,000 98,800 Batch setups (setups) 915,000 Product sustaining (number of products) 840,000 72,800 Total manufacturing overhead cost $ 2,470,000 Total $ 350 1 260 1 NA 610 2 NA Other 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. Compute the product margins for the Xtreme and the Pathfinder products under the activity-based costing 3. Prepare 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 cost (Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amoun Xtreme Pathfinder Total Product margin Reg Required 2 Compute the product margins for the Xtreme and the Pathfinder products under the activity-based costing syst 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. your Intermediate calculations to 2 decimal places.) Xtreme Pathfinder Total Product margin decimal places and "Percentage answers to 1 decimal place.) Pathfinder Total Xtreme % of Amount Total Amount % of Amount Total Amount Amount Traditional Cost System % % % % % Total cost assigned to products Xtreme Pathfinder Total % of % of Amount Total Amount Amount Total Amount Amount ses Activity-Based Costing System Direct costs: + % % % Indirect costs: % % % % % Total cost assigned to products Costs not assigned to products: Total cost