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ivret Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for
ivret Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data:
Total machine-hours | 80,000 | |
Total fixed manufacturing overhead cost | $ | 624,000 |
Variable manufacturing overhead per machine-hour | $ | 3.10 |
Recently, Job M598 was completed with the following characteristics:
Number of units in the job | 60 | |
Total machine-hours | 300 | |
Direct materials | $ | 645 |
Direct labor cost | $ | 9,000 |
If the company marks up its unit product costs by 40% then the selling price for a unit in Job M598 is closest to: (Round your intermediate calculations to 2 decimal places.)
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