Sam estimates that his manufacturing overhead costs will be £85,100 in 2018. He forecasts that he will sell 15,000 team kits, 6,000 tennis racquets, and 2,000 badminton racquets. Calculate a blanket rate for Smart Sports. Using the estimated direct costs for each product group, calculate the estimated product cost for each team kit, tennis racquet, and badminton racquet by completing Table 11.1.

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Table 11.1 Product cost per unit calculated using a blanket rate Team kits Tennis Badminton racquets racquets Direct materials 3.00 10.00 8.00 Direct labour 2.50 7.50 12.50 Overheads Total manufacturing cost per unit