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States Topic if you are Connect enheducation.com/modetritira coisa comederal, DOWIATOS Swed Exercise 9-33 (Algo) Plantwide versus Department Allocation (LO 9-2,3) Munoz Sporting Equipment manufactures baseball

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States Topic if you are Connect enheducation.com/modetritira coisa comederal, DOWIATOS Swed Exercise 9-33 (Algo) Plantwide versus Department Allocation (LO 9-2,3) Munoz Sporting Equipment manufactures baseball bats and tennis rackets Department B produces the baseball bats, and Department T produces the tennis rackets Munoz currently uses plantwide allocation to allocate its overhead to all products Direct labor costis the allocation base. The rate used is 150 percent of direct labor cost Last year, revenue, materials, and direct labor were as follows Baseballats Tennis Mackets Sales reven $1,630,000 $1,200,000 Direct labor 300,000 190,00 Direct materials 570,000 296.000 Required: a. Compute the profit for each product using plantwide alocation 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 department She discovered that had department rates been used Department would have had a rate of 100 percent of direct labor cost and Department would have bed a rate of 250 percent of direct cost Recompute the profits for each product using each departments location rate based on direct labor COM Profit Tennos Union Gotion D Type here to earth c O ID DELL F3 F4 FS F6 F2 FB F10 F11 F12 Priser inert FO P % A * #m $ 4 ) 0 5 6 7 8 9 W E R P

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