Lupo 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 | 32,000 | |
| Total fixed manufacturing overhead cost | $ | 352,000 |
| Variable manufacturing overhead per machine-hour | $ | 3.00 |
Recently, Job T687 was completed with the following characteristics:
| Number of units in the job | 10 | |
| Total machine-hours | 40 | |
| Direct materials | $ | 675 |
| Direct labor cost | $ | 1,350 |
If the company marks up its unit product costs by 40% then the selling price for a unit in Job T687 is closest to: (Round your intermediate calculations to 2 decimal places.)
Garrison 16e Rechecks 2017-06-22, 2017-08-01
Multiple Choice
$283.50
$103.40
$361.90
$546.00
