Crinkle Cut Clothes Company manufactures two products CC1 and CC2. Current direct material and direct labor costs are de

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Crinkle Cut Clothes Company Manufactures Two Products Cc1 And Cc2 Current Direct Material And Direct Labor Costs Are De 1 (44.56 KiB) Viewed 8 times

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 estimated to be $338,250. The direct labor and direct materials costs are estimated to be consistent with the current year. Direct labor costs $28 per hour and the company expects to manufacture 22,000 units of CC1 and 91,000 units of CC2 next year. CC1 CC2 DM and DL Costs Direct Material per Unit $37.10 $25.20 Compute the plantwide overhead rate for next year. Direct Labor Dollars per Unit $22.40 $15.40