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Inc. uses a job-order costing system with a predetermined overhead rate using machine hours as the allocation base. The company made the following estimates
Inc. uses a job-order costing system with a predetermined overhead rate using machine hours as the allocation base. The company made the following estimates at the beginning of last year: Total machine-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour 32,100 $ 577,800 $ 5.00 Inc. started and completed Job X176 last year. It reported the following information for Job X176: Number of units in the job Total machine-hours Direct materials Direct labor cost 10 30 $ 595 $ 1,190 The company uses a markup percentage of 40% of its total manufacturing cost in determining selling price. The selling price per unit the company would charge for is closest to: (Round your calculations to 2 decimal places.)
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