Murray Inc. produces manufactured homes. The companys two primary products are: a one-bedroom model and a two-bedroom model. Texas Division of Emergency Management (TDEM) has recently requested Murray to send a bid for 150 emergency housing to be provided to hurricane victims in Texas. The one-bedroom model is similar to emergency huts. Mia Smith, a management accountant at Murray, is responsible for preparing the bid. While creating the bid, Mia finds a recent invoice to TDEM for 200 huts sent during the recent tornadoes in Texas. Cost data for the one-bedroom model are presented below: Direct materials $9,500 Direct manufacturing labor 32 hours $704 Manufacturing overhead* $3.50 per direct labor dollar $2,464 Total cost $12,688 Retail markup on total cost 25% Retail price per unit $15,835 *This cost contains inspection labor, setup labor, and other indirect costs. Cost data in the invoice are presented below: Direct materials $2,090,000 Direct manufacturing labor** $164,400 Manufacturing overhead $3.50 per direct labor dollar $575,400 Total cost $2,829,800 Government contract markup on total cost 20% Total due $3,395,760 **This cost contains 30 production hours per unit, 4 inspection hours per unit, and 6 setup house per unit. Required: 1. (1 point) What is the total bid if the cost data for the one-bedroom model are used? Assume government contract markup is 20%. 2. (1 point) What is the total bid if the invoice is used? Assume government contract markup is 20%. 3. (2 points) Discuss the primary differences between the bids in requirements 1 and 2. 4. (1 point) See the IMA Standards of Ethical Professional Practice in Chapter 1 Appendix. Which specific standard(s) should Mia consider when she makes a decision regarding which bid she will send to TDEM?