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Coronado comlany produces 2 products, flower and planter. flower is a high-volume item totaling 20000 units annually. planter is low-volume item totalling only 6000 unites per year. flower requires 1
Coronado comlany produces 2 products, flower and planter. flower is a high-volume item totaling 20000 units annually. planter is low-volume item totalling only 6000 unites per year. flower requires 1 hour of direct labor for completion, while each unit of planter requires 2 hours. Therefore, total annual direct labor hours are 32000 (20000 + 12000). Estimated annual manufacturing overhead costs are $720000. Coronado uses a traditional costing system and assigns overhead based on direct labor hours. Each unit of Planter would be assigned overhead of
