For 2014, Bakers Manufacturing uses machine - hours as the only overhead cost - allocation base....

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For 2014, Bakers Manufacturing uses machine - hours as the only overhead cost - allocation base. The direct cost rate is $3.00 per unit. The selling price of the product is $20.00. The estimated manufacturing overhead costs are $ 240,000 and estimated 40,000 machine hours. The actual manufacturing overhead costs are $300,000 and actual machine hours are 50,000. What is the markup as a percentage of cost if each unit requires two machine - hours? For 2014, Bakers Manufacturing uses machine - hours as the only overhead cost - allocation base. The direct cost rate is $3.00 per unit. The selling price of the product is $20.00. The estimated manufacturing overhead costs are $ 240,000 and estimated 40,000 machine hours. The actual manufacturing overhead costs are $300,000 and actual machine hours are 50,000. What is the markup as a percentage of cost if each unit requires two machine - hours?

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To calculate the markup as a percentage of cost you need to determine the total manufactu... View the full answer