Other Overhead Application, Activity-Based Costing, Bid Prices Firenza Company manufactures specialty tools to customer order. Budgeted overhead for the coming year is: Purchasing $35,000 Setups 40,000 Engineering 50,000 40,000 Previously, Sanjay Bhatt, Firenze Company's controller, had applied overhoed on the basis of machine hours. Expected machine hours for the coming year are 59,000. Sanjay been reading about activity-based costing, and he wonders whether or not it might offer some advantages to his company. He decided that appropriate drivers for overhend activities are purchase orders for purchasing number of setups for setup cost, engineering hours for engineering cout, and machine hours for other. Budgeted amounts for these drivers are 5,000 purchase orders, 500 setups, and 2,500 engineering hours. Sanjay has been asked to prepare bids for two jobs with the following information: Job Job 2 Direct materials 54,500 59,380 $1,200 $2,100 Number of purchase orders Number of setups Number of engineering hours Direct labor 15 20 3 4 45 10 Number of machine hours 200 200 Number of machine hours 200 200 The typical bid price includes a 40 percent markup over full manufacturing cost. Required: Note: When required, round your answers to the nearest cent. 1. Calculate a plantwide rate for Firenza Company based on machine hours. per machine hour What is the bid price of each job using this rate? Bld Price