Case 10 - Word galdo gaspar GG a File Home Insert Draw References Mailings Review View Help Tell me what you want to do Share Design Layout Calibri (Body) - 11 | A Aav A A BI U mhe X, XA & cut - Copy Paste Format Painter Clipboard A AaBb CcDc AaBbCcDc AaBbcc Aabbcc AaB 1 Normal I No Spac... Heading 1 Heading 2 Title Find ab Replace Select L- Font 19 Paragraph 15 Styles Editing Case 14 Cost Rate Analysis Silver Machinery Company has been operating well below capacity, and Williams, the sales manager, has been trying to increase orders He receritly received an offer to bad on a large industrial press and submitted the specifications to Silver M Company's cost estimators The estimate follows: Materials P29,600 Direct laborat P9 per hour 19,800 Overhead at P12 per DLH 26.400 Total manufacturing cost 75,800 Starxlard allowance for selling and administrative Expenses, 10% of mfg cost 7.580 Total cost 83,380 Add: Std allowance for profit 15% of total cost 12.507 Suggested Price P95,887 Williams told the executive vice presxdent that the suggested price is not low enough to get the job. He said that the cistomer expected a price in the neighbourhood of P75,000, which another company had already bid The vice president called in the controller, who said that the overhead rate was about 60% vajable, 40% fixed and that variable selling and administrative expenses were negligible The vxe president was reluctant to meet the 175,000 price but agreed to thin it over and get back to Williams Required: Analyze and give your recommended calculation whether Silver M Cotipxaney should accept or not, the price offered of 175.000 How do you present it. Page 7 of 14 words ng Fnglish (United Kingdom) + 90% W ENG UK 9:16 PM 10/31/2021