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Assume that SJM will bid on job 1 0 1 that has the following requirements: Mining Processing Machine hours 2 0 0 1 5 0

Assume that SJM will bid on job 101 that has the following requirements:

Mining Processing

Machine hours 200150

Labor hours 100225

Assume further that job 101 has prime costs of $3,000 and marks up its products by 25% over full

cost. Using the direct method, what is the bid price for job 101?


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