P19-40 Accounting for manufacturing overhead This problem continues the Daniels Consulting situation from Problem P18-42 of Chapter 18. Daniels Consulting uses a job order costing system in which each client: a different job. Daniels assigns direct labor, meal per diem, and travel costs directly ,is each job. It allocates indirect costs to jobs based on a predetermined overhead allogo tion rate, computed as a percentage of direct labor costs. At the beginning of 2018, the controller prepared the following budget: Direct labor hours (professionals) 6,250 hours Direct labor costs (professionals) $ 1, 100,000 Support staff salaries 90,000 Computer leases 57,000 Office supplies 40,000 Office rent 55,000 In November 2018, Daniels served several clients. Records for two clients appear here. Tommy's Trains Marcia's Cookies Direct labor hours 720 hours 200 hours Meal per diem $ 2,700 $ 600 Travel costs 8,000 Requirements 1. Compute Daniels's predetermined overhead allocation rate for 2018. 2. Compute the total cost of each job. 3. If Daniels wants to earn profits equal to 25% of sales revenue, what fee should it charge each of these two clients? 4. Why does Daniels assign costs to jobs