Case 2-22 (Algo) Plantwide versus Departmental Overhead Rates; Pricing [LO2-1, LO2-2, LO2-3, [024] "Brast ar said David Wison, president of Teledex Company "WeVe just last the bid on the Koopers job by $4,000, it seems we're either too high to get the job or too low to make any money on half the jobs we bid: Teledex Compeny manufactures products to customers' specifications and uses a job-ofder cesting system. The company uses a plamwide predetermined overhead tate based on direct labor cost to apply its monufocturing overhead fassumed to be ail fixed) ro jobs. The following estimates were made at the beginning of the year: Jobs require varying amounts of work in the thiree departments. The Koopers job, for example, would have required manufacturing costs in the three departments as foliows Required: 1 Using the comparty's plantwide approach: a. Compute the plantwide predetermined rate for the current yeac. b. Determine the amount of manufacturing overhead cost thot would have been appled to the Koopers job. 2 suppose that instead of using a planwide predetemined overhead rate, the compary had used departmentul predetermined overbead raves based on direct labor cost. Under these condetons: a. Compuse the predetermined overhead rate for each department for the current yeat, b. Determine the amount of manutacturing overhead cost that would have been applied to the Koopers job. 4. Assume that it is customary in the industry to bid jobs at 150% of fotal manulacturing cost (direct materisis, difect labor, and applied overhead? a. What was the company's bid price on the Koopers job using a plantwide predetermined overhead rate? b. What would the bid price have been if departmental predetermined overhead rates hod been used to apply overhead cost? Complete this question by entering vour ansevers in the tabs below