R - Cubed manufactures custom playground equipment from recycled plastics for city school districts. The school districts are required to use a certain percentage of recycled materials to comply with its state grants. As a result, R - Cubed tracks both virgin (non - recycled) and recycled materials used to manufacture its playground equipment. R - Cubed uses a predetermined manufacturing overhead rate of $7.00 per direct labor hour. Here is a summary of the materials and labor used on a recent job for Stow City Schools: Calculate the total cost of the Stow City job. $7, 280 $7, 790 $7, 930 $7, 480