You are negotiating a non-competitive contract for the production of replacement parts for equipment produced by Perry Products to meet unique Government requirements. Perry's cost proposal includes an estimated direct labor cost of $49,000 (5,000 labor hours at $9.84 per hour). The estimate is based on the following direct manufacturing labor information:

Labor Category Labor Rate Projected Labor Hours

Team Leader $14.50 250

Assembly $8.20 2000

Fabrication $7.50 1500

Production $9.00 750

QC/Test $10.00 500

Totals 5000 1. Using the above info, what weighted-average direct manufacturing labor rate should you use in preparing your manufacturing direct labor cost objective? 2. Using the above info, what should be your direct manufacturing labor cost objective for this contract?