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Discussion Question Donald Manufacturing Company uses a predetermined manufacturing overhead rate based on a percentage of direct labor cost. At the beginning of 2018, they

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Discussion Question Donald Manufacturing Company uses a predetermined manufacturing overhead rate based on a percentage of direct labor cost. At the beginning of 2018, they estimated total manufacturing overhead costs at $1,280,000, and they estimated total direct labor costs at $1,600,000. The administration and selling overheads are to be absorbed in each job cost at 18% of prime cost. Distribution cost should be added to each job according to quotes from outside carriage companies. The company wishes to quote for job # 225. Job stats are as follows: Direct materials cost Direct labour cost Direct labour hours Special Design Cost Distribution quote from haulage company Units of product produced $171,300 $219,000 500 hours $14,500 $19,136 500 boxes a) Compute Donald Manufacturing Company predetermined manufacturing overhead rate for 2018. b) How much manufacturing overhead was allocated to Job #225? c) Calculate the total cost & quotation price of Job #225, given that a margin of 20% is applied. d) How much was the production cost per unit (cost per box) of finished product

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