Compute the product margins for the xactive and the

Reference no: EM13576285

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	Xactive	Pathbreaker	Total
Supporting direct labor (direct labor-hours)	$	977,500	45,000	70,000	115,000
Batch setups (setups)		612,000	300	210	510
Product sustaining (number of products)		700,000	1	1	2
Other		10,500	NA	NA	NA

Total manufacturing overhead cost	$	2,300,000

Compute the product margins for the Xactive and the Pathbreaker products under the activity-based costing system. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations to 2 decimal places and final answers to the nearest dollar amount. Omit the "$" sign in your response.)

	Xactive	Pathbreaker	Total
Product margin	$	$	$

Reference no: EM13576285

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