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Jessie Industries makes large waste storage bins and sells them for $ 1 5 0 each. The manufacturing cost of each bin is as follows:Direct

Jessie Industries makes large waste storage bins and sells them for $150 each. The manufacturing cost of each bin is as follows:Direct material$50Direct labour$42Manufacturing overhead$20The manufacturing overhead is 80% variable and 20% fixed. The company receives an order for 1,000 bins which will cost an additional $10 in shipping costs per bin. The company has sufficient excess capacity to produce the order.a) What are the variable manufacturing overhead costs for each bin?b) What is minimum price Jessie should charge for each bin?

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