CASE: The missing Moscow Mule BL Manufacturing Inc. makes copper mugs. The company has the following standards: Direct materials (clay)........ 1.3 kg per bottle, at a cost of $0.40 per kg Direct labour.......... 1/5 hour per bottle, at a cost of $14.80 per hour Static budget variable overhead............... $70,500 Static budget fixed overhead................ $30,500 Static budget direct labour hours............... 10,000 Static budget number of bottles............ 52,000 BL Manufacturing Inc. allocates manufacturing overhead to production based on standard direct labour hours. Last month the company reported the following actual results for the production of 69,000 bottles: Direct materials....... Direct labour......... Actual variable overhead.... Actual fixed overhead........ 1.5 kg per bottle, at a cost of $0.70 per kg 14 hour per bottle, at a cost of $12.90 per hour $104,600 $28,700 Refer to the above data and calculate the standard cost one unit and specifically: 1. Calculate the standard predetermined variable manufacturing overhead rate, the standard predetermined fixed manufacturing overhead rate, and the total standard predetermined overhead rate. 2. Calculate the standard cost of each of the following inputs: direct materials, direct labour, variable manufacturing overhead, and fixed manufacturing overhead. 3. Determine the standard cost of one copper mug