Ayala inc. has conducted the following analysis related to its product lines, using a traditional costing system (volume-based) and an activity-based costing system. both the traditional and the activity-based costing systems include direct materials and direct labor costs.

products sales revenue traditional abc
product 540x 198,200 54,440 45,520
product 137y 158,700 49,090 39,290
product 249s 83,190 11,290 30,010
instructions
a) for each product line, compute operating income using the traditional costing system.
b) for each product line, compute operating income using the activity-based costing system
c) using the following formula, compute the percentage difference in operating income for each of the product lines of ayala: {operating income (abc)-operating income traditional cost)]divided operating income (traditional cost)(round the percentage to two decimals).

Laurelton heating & cooling installs and services commercial heating and cooling systems. laurelton uses job costing to calculate the cost of its jobs. overhead is allocated to each job based on the number of direct labor hours spent on that job. at the beginning of the current year, laurelton estimated that its overhead for the coming year would be $ 61 comma 500. it also anticipated using 4 comma 100 direct labor hours for the year. in april comma laurelton started and completed the following two jobs: (click the icon to view the jobs.) laurelton paid a $ 20-per-hour wage rate to the employees who worked on these two jobs. read the requirements requirement 1. what is laurelton's predetermined overhead rate based on direct labor hours? determine the formula to calculate laurelton's predetermined overhead rate based on direct labor hours, then calculate the rate. / = predetermined overhead rate