Flawless Cosmetic Company manufactures and distributes several different products. The company currently uses a plantwide...
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Flawless Cosmetic Company manufactures and distributes several different products. The company currently uses a plantwide allocation method for allocating overhead at a rate of $8 per direct labor-hour. Loren is the department manager of the Makeup Department that produces Concealer (C) and Glow Cream (GC). Jennifer is the department manager of the Hair Care Department that manufactures Shampoo (S). The product costs (per case of 24 bottles) and other information are as follows: Products C GC S Direct materials $ 105.00 $ 68.00 $ 50.00 Direct labor 40.00 30.50 13.00 Overhead 26.00 24.00 12.00 $ 171.00 $ 122.50 $ 75.00 Machine-hours 5 3 4 Number of cases (per year) 300 500 600 If Flawless changes its allocation basis to machine-hours, what is the total product cost per case for Product GC? Note: Do not round intermediate calculation
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