"Blast it$!"$ said David Wilson, president of Teledex Company. "We've just lost the bid on the Koopers job by $$2,000.$ It seems W

either too high to get the job or too low to make any money on half the jobs we bid."

Teledex Company manufactures products to customers' specificotions and uses a job$-$order costing system. The compony use

plantwide predetermi Complete this question by entering your answers in the tabs below.

Assume that it is customary in the industry to bid jobs at $150\%$ of total manufacturing cost $($direct materials, direct labor, and

applied overhead$).$ What would the bid price have been if departmental predetermined overhead rates had been used to apply

overhead cost?ned overhesd rate bosed on direct labor cost to spply its manufocturing overhead $($assumed to be all fix

jobs. The following estimates were mode at the beginning of the year:

Jobs require varying amounts of work in the three deportments. The Koopers job, for example, would have required manufact

costs in the three deportments os follows:

Required:

Using the compony's plontwide opprosch:

o$.$ Compute the plontwide predetermined rate for the current yeor.

b$.$ Determine the amount of manufocturing overhead cost that would hove been applied to the Koopers job.

Suppose that instead of using o plontwide predetermined overhead rate, the company had used deportmental predetermin

overhead rates bssed on direct labor cost. Under these conditions:

o$.$ Compute the predetermined overhead rate for each deportment for the current year.

b$.$ Determine the amount of manufocturing overhead cost that would hove been applied to the Koopers job.

Assume thet it is customery in the industry to bid jobs at $150\%$ of total manufacturing cost $($direct materials, direct labor, and

overheso$).$

o$.$ What was the company's bid price on the Koopers job using a plontwide predetermined overhead rate?

b$.$ What would the bid price hove been if deportmental predetermined overhead rotes had been used to epply overhead cost

Complete this question by entering your answers in the tabs below.

Assume that it is customary in the industry to bid jobs at $150\%$ of total manufacturing cost $($direct materials, direct labor, and

applied overhead$).$ What was the company's bid price on the Koopers job using a plantwide predetermined overhead rate?