Smoky Mountain Corporation makes two types of hiking boots-Xtreme and 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 Estimated total manufacturing overhead Estimated total direct labor-hours $ 115.00 $ 65.40 $ 16.00 1.6 DLHS 32,000 units Pathfinder $85.00 $ 53.00 $ 10.00 1.0 DLH 60,000 units The company has a traditional costing system that applies manufacturing overhead to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: $ 1,779,200 111,200 DLHs Required: 1. Compute the product margins for Xtreme and Pathfinder 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 id capacity costs): Estimated Overhead Cost $ 556,000 770,000 400,000 53,200 $ 1,779,200 Expected Activity Activities and (Activity Measures) Supporting direct labor (direct labor-hours) Batch setups (setups) Product sustaining (number of products) Other Total manufacturing overhead cost Compute the product margins for Xtreme and Pathfinder under the activity-based costing system. Xtreme Pathfinder 51,200 60,000 430 340 1 1 ΝΑ ΝΑ Total 111, 200 770 2 ΝΑ

Name: capacity costs):Complete this question by entering your answers in th
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: capacity costs):Complete this question by entering your answers in the tabs below.Required 1 Required 2 Required 3Activities and (Activity Measures)Supporting direct labor (direct labor-hours)Batch setups (setups)Product sustaining (number of produc