Rivera, Howard, and Price, a CPA firm, is preparing to bid for a consulting job. Although Anita Price will use her judgment about the market in finalizing the bid, she has asked you to prepare a cost analysis to help in the bidding. You have estimated the costs for the consulting job to be as follows: (Click the icon to view the estimated costs.) Of the $65,000 allocated fixed costs, $63,000 will be incurred even if the job is not undertaken. Anita normally bids jobs at the sum of (1) 110% of the estimated materials and supplies cost and (2) $65 per estimated labor hour. Read the requirements More info Requirement 1. Prepare a bid using the normal formula. Using the normal formula, the bid price should be $ 293,000 $ 30,000 Requirement 2. Prepare a minimum bid equal to the additional costs expected to be incurred to complete the job. Materials and supplies, at cost Hourly pay for consultants, 4.000 hours at $25 per hour 100,000 56,000 $ 186,000 Fringe benefits for consultants, 4,000 hours at $14 per hour Total variable costs Fixed costs allocated to the job Based on labor, 4,000 hours at $11 per hour 44,000 21,000 Based on materials and supplies, 70% of $30,000 Minimum bid $ 251,000 Total cost Print Done