Bluebird Design is an interior design firm. The firm uses a job cost system in which each client is a different "job." Bluebird Design traces direct labor, licensing costs, and travel costs directly to each job (client). It allocates indirect costs to jobs based on a predetermined indirect cost allocation rate computed as a percentage of direct labor costs. At the beginning of the current year, managing partner Mary Alice Distasio prepared the following budget: Requirement 1. Compute Bluebird Design's predetermined indirect cost allocation rate for the current year. Identify the formula, then compute the rate. (Enter the result as a whole number.) Total estimated indirect costs $ 276,000 Total estimated direct labor cost 1,200,000 Predetermined indirect cost allocation rate 23 % Data table Dining Treats AllFood.com Direct labor hours..... Licensing costs $ 720 hours 2,800 $ 45 hours 350 Travel costs. $ 13,000 $ 0 Requirement 2. Compute the total cost of each of the two jobs listed. First enter in the direct costs for each job, then enter in the indirect costs and total cost for the jobs. (Complete all input fields. For accounts with no balance, make sure to enter "0" in Bluebird Design Estimated Cost of Dining Treats and AllFood.com Jobs Data table Direct labor hours (professional) Dining Treats AllFood.com Direct Costs: Direct labor 720 hours x $ 150 $ 108,000 45 hours x $ 150 6,750 Licensing costs 2,800 13,000 350 0 Travel Total Direct Costs 123,800 $ 7,100 the nearest whole dollar.) 8,000 hours Direct labor costs (professional)..... Support staff salaries .... $ 1,200,000 $ 140,000 Computer lease payments. $ 47,000 Office supplies... Office rent.. $ 27,000 62,000 Requirements Indirect Costs: 23 % * $ 108,000 24,840 23 % * $ 6,750 Total Cost 148,640 $ 1,553 8,653 Requirement 3. If Bluebird Design wants to earn profits equal to 30% of sales revenue, how much (what total fee) should the company charge each of these two clients? Identify the formula then determine the amount Bluebird Design should charge these clients. (Round your answers to the nearest whole dollar.) 1. Compute Bluebird Design's predetermined indirect cost allocation rate for the current year. 2. Compute the total cost of each of the two jobs listed. 3. If Bluebird Design wants to earn profits equal to 30% of sales revenue, how much (what total fee) should the company charge each of these two clients? 4. Why does Bluebird Design assign costs to jobs? Dining Treats Total job cost 148,640 % of costs to revenue % = Fee charged Print Done