2. Abbot Engineering, a building contractor, builds houses in tracts, often building as many as 30 homes simultaneously. Abbot Engineering has budgeted costs for an expected number of houses in 2020 as follows: Direct materials 550,000 Direct labor 350,000 Job construction overhead 600,000 Cost of jobs 1,500,000 Selling and administrative costs Total costs 300,000 The job construction overhead includes approximately OMR 600,000 of fixed costs, such as the salaries of supervisors and depreciation on equipment. The selling and administrative costs include OMR 175,000 of variable costs, such as sales commissions and bonuses that depend fundamentally on overall profitability. Abbot Engineering wants an operating income of OMR 700,000 for 2000. Compute the average target markup percentage for setting prices as a percentage of the following: A. Direct materials plus direct labor B. The full cost of jobs C. The variable "cost of jobs D. The full cost of jobs plus selling and administrative costs E. The variable "cost of jobs" plus variable selling and administrative costs