Biology Forums - Study Force

Sivret Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data:

Total machine-hours	80,000
Total fixed manufacturing overhead cost	$ 624,000
Variable manufacturing overhead per machine-hour	$ 3.10

Recently, Job M598 was completed with the following characteristics:

Number of units in the job	60
Total machine-hours	300
Direct materials	$ 645
Direct labor cost	$ 9,000

If the company marks up its unit product costs by 40% then the selling price for a unit in Job M598 is closest to: (Round your intermediate calculations to 2 decimal places.)

▸ $321.35

▸ $225.05

▸ $86.10

▸ $301.35

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