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Munoz Sporting Equipment manufactures baseball bats and tennis Department B produces the baseball bats, and Department T produces the allocation to allocate its to all

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Munoz Sporting Equipment manufactures baseball bats and tennis Department B produces the baseball bats, and Department T produces the allocation to allocate its to all products. Direct labor cost is the allocation base. The rate used is 100 percent of direct labor cost. Last year, Compute the profit for each product using allocation. Maria the manager of Department T was convinced that tennis rackets were more portable than baseball bats. She asked her colleague in accounting to break down the two departments. She discovered that had department rates been used. Department B would have had a rate or 50 percent of direct labor cost and Department T wound have had a rate of 200 percent of direct tabor cost. Recomputed the profits for each product using each department's

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