Racquet Company produced tennis racquets 10,000 units of the Ace and 4,000 of the Sureshot The Ace sells for $220 each and the Sureshot for $175 each…

Racquet Company produced tennis racquets

10,000 units of the Ace and 4,000 of the Sureshot

The Ace sells for $220 each and the Sureshot for $175 each

cost of $20 per unit

Each racquet takes 0.5 direct labour-hours to make. The company pays their employees $10 per hour

Racquet has allocated overhead based on the amount of direct labour dollars

The overhead allocation is $10 overhead for each $1 of direct labour

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