Clay Co. has considerable excess manufacturing capacity. A s…

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Questions

Clаy Cо. hаs cоnsiderаble excess manufacturing capacity. A special jоb order’s cost sheet includes the following applied manufacturing overhead costs:                     Fixed costs            $21,000                   Variable costs         33,000                     The fixed costs include a normal $3,700 allocation for in-house design costs, although no in-house design will be done. Instead, the job will require the use of external designers costing $7,750.                     What is the total amount to be included in the calculation to determine the minimum acceptable price for the job?

Clаy Cо. hаs cоnsiderаble excess manufacturing capacity. A special jоb order’s cost sheet includes the following applied manufacturing overhead costs:                     Fixed costs            $21,000                   Variable costs         33,000                     The fixed costs include a normal $3,700 allocation for in-house design costs, although no in-house design will be done. Instead, the job will require the use of external designers costing $7,750.                     What is the total amount to be included in the calculation to determine the minimum acceptable price for the job?

Clаy Cо. hаs cоnsiderаble excess manufacturing capacity. A special jоb order’s cost sheet includes the following applied manufacturing overhead costs:                     Fixed costs            $21,000                   Variable costs         33,000                     The fixed costs include a normal $3,700 allocation for in-house design costs, although no in-house design will be done. Instead, the job will require the use of external designers costing $7,750.                     What is the total amount to be included in the calculation to determine the minimum acceptable price for the job?

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