Homework 9. Chapter 9 Help Save & Exit Submit 2 Munoz Sporting Equipment manufactures baseball bats and tennis rackets. Department produces the baseball bats, and Department T produces the tennis rackets Munor currently uses plantwide allocation to allocate its overhead to all products. Direct labor cost is the allocation base. The rate used is 150 percent of direct labor cost. Last year, revenue, materials, and direct Inbor were as follows Baseball Bats Tennis Mackets Sales revenue $1,660,60 5950,000 Direct labor 350,000 125,000 Direct materials 554,900 286,000 20 Required: a. Compute the profit for each product using plantwide Allocation b. Maria, the manager of Department was convinced that tennis rackets were really more profitable than baseball bats. She asked her colleague in accounting to break down the overhead costs for the two departments. She discovered that had department rates been used, Department would have had a rate of 100 percent of direct labor cost and Department T would have had a rate of 250 percent of direct labor cost. Recompute the profits for each product using each departments allocation rate based on direct labor cost). he Pro dal Tenni Raches using pawie ocios Using department's action