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Bramble Company produces two products, Flower and Planter. Flower is a high-volume item totaling 20000 units annually. Planter is a low-volume item totaling only
Bramble Company produces two products, Flower and Planter. Flower is a high-volume item totaling 20000 units annually. Planter is a low-volume item totaling only 6000 units per year. Flower requires one hour of direct labor for completion, while each unit of Planter requires 2 hours. Therefore, total annual direct labor hours are 32000 (20000+12000). Estimated annual manufacturing overhead costs are $740000. Bramble uses a traditional costing system and assigns overhead based on direct labor hours. Each unit of Planter would be assigned overhead of
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