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Crinkle Cut Clothes Company manufactures two products CC1 and CC2. Current direct material and direct labor costs are detailed below. Next year the company wishes

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Crinkle Cut Clothes Company manufactures two products CC1 and CC2. Current direct material and direct labor costs are detailed below. Next year the company wishes to use a plantwide overhead rate with direct labor hours as its allocation base. Next year's overhead is budgeted to be $601,850. The direct labor and direct materials costs are budgeted to be consistent with the current year. Direct labor costs $20 per hour and the company expects to manufacture 41,000 units of CCl and 110,000 units of CC2 next year. Compute the plantwide overhead rate for next year. Multiple Choice $5.00 per DLH. $1.95 per DLH. $20.00 per DLH. $32.80 per DLH. $0.97 per DLH

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