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Love It Industries manufactures custom-designed playground equipment for schools and city parks. Love It expected to incur $828,000 of manufacturing overhead cost, 41.400 of
Love It Industries manufactures custom-designed playground equipment for schools and city parks. Love It expected to incur $828,000 of manufacturing overhead cost, 41.400 of direct labor hours, and $1,490,400 of direct labor cost during the year (the cost of direct labor is $36 per hour). The company allocates manufacturing overhead on the basis of direct labor hours. During January, Love It completed Job 305. The job used 155 direct labor hours and required $13.900 of direct materials. The City of Hamptonville has contracted to purchase the playground equipment at a price of 20% over manufacturing cost. Read the requirements. Direct materials Direct labor Manufacturing overhead Total job cost 13.900 5,580 3.100 $ 22,580 Requirement 2. How much will the City of Hamptonville pay for this playground equipment? (Round your answers to the nearest whole number) Total price to charge
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