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eBook Calculator Accepting Business at a Special Price Power Serve Company expects to operate at 85% of productive capacity during May. The total manufacturing costs
eBook Calculator Accepting Business at a Special Price Power Serve Company expects to operate at 85% of productive capacity during May. The total manufacturing costs for May for the production of 37,400 batteries are budgeted as follows: Direct materials $361,100 Direct labor 132,800 Variable factory overhead 37,180 Fixed factory overhead 74,000 Total manufacturing costs $605,080 The company has an opportunity to submit a bid for 3,000 batteries to be delivered by May 31 to a government agency. If the contract is obtained, it is anticipated that the additional activity will not interfere with normal production during Mayor increase the singer administrative expenses. What is the cost below which Power Serve Company should not go in bidding on the government contract? Round your answer to two decimal places. por unt (Previous Next > Email Instructor swand Sam Assignment for Grading
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