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comans corporation has two production departments, milling and customizing. the company uses a job-order costing system and computes a predetermined overhead rate in each production department. the milling department’s predetermined overhead rate is based on machine-hours and the customizing department’s predetermined overhead rate is based on direct labor-hours. at the beginning of the current year, the company had made the following estimates:
milling customizing
machine-hours 15,000 20,000
direct labor-hours 11,000 5,000
total fixed manufacturing overhead cost $ 82,500 $ 29,500
variable manufacturing overhead per machine-hour $ 2.00
variable manufacturing overhead per direct labor-hour $ 4.10
during the current month the company started and finished job a319. the following data were recorded for this job:
job a319: milling customizing
machine-hours 60 10
direct labor-hours 50 40
direct materials $ 690 $ 220
direct labor cost $ 740 $ 660
if the company marks up its manufacturing costs by 10% then the selling price for job a319 would be closest to: (round your intermediate calculations to 2 decimal places.)
multiple choice
$3,824
$3,476
$3,160
$316