Grey Inc. manufacturers two products (Wans and Rans). For many years, the company has used a simply costing system to allocate overhead costs to its product lines based on direct labour hours. For 2021, the company gathered the following budgeted information:

Wans Rans

Units produced and sold	168,750	337,500
Direct labour hours used	337,500	1,012,500
Direct labour cost	3,375,000	15,187,500

Direct materials cost $405 per unit of the Wans and $472 per unit of the Rans, and total manufacturing overhead for 2021 was budgeted to be $38,812,500.

Required

1. Using the existing (simple) costing system in which manufacturing overhead costs are allocated on the basis of direct labour hours, compute the following:
   1. The plantwide overhead allocation rate.
   2. The total manufacturing cost for each product line.
   3. The manufacturing cost per unit for each product line.

      a simply costing system to allocate overhead costs to its product lines based on direct labour hours. For 2021, the company gathered the following budgeted information:

      Wans Rans

      Units produced and sold	168,750	337,500
      Direct labour hours used	337,500	1,012,500
      Direct labour cost	3,375,000	15,187,500

      Direct materials cost $405 per unit of the Wans and $472 per unit of the Rans, and total manufacturing overhead for 2021 was budgeted to be $38,812,500.

      Required

   4. Using the existing (simple) costing system in which manufacturing overhead costs are allocated on the basis of direct labour hours, compute the following:
      1. The plantwide overhead allocation rate.
      2. The total manufacturing cost for each product line.
      3. The manufacturing cost per unit for each product line.