Which of the following is NOT a difference between traditional and activity based costing systems? Multiple Choice Activity based costing using numerous predetermined overhead rates while traditional uses only one. Activity based costing assigns product and period costs to units. The way they assign direct materials and direct labor to products. Activity based costing may not assign all product costs to units if they are not directly tied to an activity Mirabile Corporation uses activity based costing to compute product margins. Overhead costs have already been allocated to the company's three activity cost pools--Processing, Supervising, and other. The costs in those activity cost pools appear below: Processing $ 5,170 Supervising $ 31,640 Other $ 11,900 Processing costs are assigned to products using machine hours (MHS) and Supervising costs are assigned to products using the number of batches. The costs in the other activity cost pool are not assigned to products. Activity data appear below. MHS Processing) 10,400 600 11,000 Batches (Supervising) 700 700 Product MO Product M5 Total 1,400 Finally, sales and direct cost data are combined with Processing and Supervising costs to determine product margins. Sales (total) Direct materials (total) Direct labor (total) Product Me $ 84,700 $ 30,000 $ 29, 300 Product M5 $ 97,400 $ 32,906 $ 43, 200 What is the product margin for Product M5 under activity-based costing? Multiple Choice $5,198 $25,400 $4,692 $21,300