ErnieErnie 's

Electronics, Inc., delivered

1 comma 0001,000

custom-designed computer monitors to its customer,

Video ShackVideo Shack.

The following cost information was compiled in connection with this order:

Direct Materials Used

Part A327: 1 unit costing

$ 60

per monitor

Part B149: 1 unit costing

$ 120$120

per monitor

Direct Labor Used

Assembly:

66

hours per monitor at the rate of

$ 10

per hour

Inspection:

11

hour per monitor at the rate of

$ 12

per hour

In addition, the company applies manufacturing overhead costs to jobs at the rate of

$ 5

per direct labor hour. The selling price for each monitor is

$ 350

Requirements

(a) Determine the total cost for this job.

(b) Determine the gross margin per monitor.