Vaughn Clothing Company manufactures its own designed and labeled athletic wear and sells its products through catalog sales and retail outlets. While Vaughn has for years used activity-based costing in its manufacturing activities, it has always used traditional costing in assigning its selling costs to its product lines. Selling costs have traditionally been assigned to Vaughn's product lines at a rate of 70% of direct materials costs. Its direct materials costs for the month of March for Vaughn's "high-intensity ' line of athletic wear are $396,000. The company has decided to extend activity-based costing to its selling costs (for internal decision-making only). Data relating to the "high-intensity" line of products for the month of March are as follows. Compute the selling costs to be assigned to the "high-intensity" line of athletic wear for the month of March (1) using the traditional product costing system (direct materials cost is the cost driver), and (2) using activity-based costing. eTextbook and Media By what amount does the traditional product costing system understate or overstate the "high-intensity" product line