Sunland Hollow Resort has ordered $20$ rotomolded kayaks from Current Designs. Each kayakwill be formed in the rotomolded oven,

cooled, and then have the excess plastic trimmed away. Then, thehatches, seat, ropes, and bungees will be attached to the kayak:

Dave Thill, the kayak plant manager, knowis that manufacturing each kayak requires $60$ pounds of polyethylene powder and a finishing

kit $($rope$,$ seat, hardware, etc.$).$ The polyethylene powder used in these kayaks costs $$1\mathrm{.}6$ per pound, and the finishing kits cost $$171$

each. Each kayak will use two kinds of labor: $2$ hours of more$-$skilled type I labor from people who run the oven and trim the plastic, and

$3$ hours of less$-$skilled type II labor from people who attach the hatches and seat and other hardware. The type I employees are paid

$$16$ per hour, and the type ll employees are pald $$12$ per hour. For purposes of thls problem, assume that overhead is applied to all jobs

at a rate of $150\%$ of direct labor costs.

Determine the total cost of the Sunland Hollow order and the cost of each individual kayak in the order. Identify costs as direct

materials, direct labor, or manufacturing overhead.

Direct Materials

Polyethylene powder

Finishing kit

Direct labor

Moreskilled

Less skilled

Manufacturing overhead

Total cost for one kayak $