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Lancelot Manufacturing is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead costs to the various jobs contracted during

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Lancelot Manufacturing is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead costs to the various jobs contracted during the year. The following estimates are provided for the coming year for the company and for the Case High School band jacket job. Company Cae High School Job $2,000 $400 Direct materials Direct labor Manufacturing overhead costs Machine-hours $40,000 $10,000 $45,000 100,000 mh 900 mh What is the bid price for the Case High School job if the company uses a 40% markup of total manufacturing costs? O A. $1,122 O B. $3,927 OC. $960 O D. $3,360

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