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Landen Corporation uses a job-order costing system at the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production 105,000 Machine-hours required to support estimated production 52,500 Fixed manufacturing overhead cost $ 294,000 Variable manufacturing overhead cost per direct labor-hour $3.00 Variable manufacturing overhead cost per nachine-hour $6.00 During the year, Job 550 was started and completed. The following information is available with respect to this job Direct materials Direct labor cost Direct labor-hours Machine-hours $ 229 $ 293 15 5 Required: 1 Assume that Landen has historically used a plantwide predetermined overhead rate with direct labor-hours as the allocation base Under this approach: a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550 c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550? 2. Assume that Landen's controller believes that machine-hours is a better allocation base than direct labor-hours. Under this approach the plantwide predetermined overhead rate 2 Assume that Landen's controller believes that machine hours is a better allocation base than direct labor-hours. Under this approach a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550 c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550? (Round your intermediate calculations to 2 decimal places, Round your predetermined Overhead Rate answers to 2 decimal places and all other answers to the nearest whole dollar.) por DLH 1. Direct labor-hours: 1a. Predetermined overhead rato 16. Total manufacturing cost of Job 550 Tc. Selling price 2. Machine-hours 2a. Predetermined overhead rato 2b. Total manufacturing cost of Job 550 2c. Selling price per MH

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