John's Pet Supplies applies manufacturing overhead costs to products at a budgeted indirect-cost rate of...
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Accounting
John's Pet Supplies applies manufacturing overhead costs to products at a budgeted indirect-cost rate of $60 per direct manufacturing labor-hour. A retail outlet has requested a bid on a special order of the Toy Kitty product. Estimates for this order include: Direct materials $50,000; 600 direct manufacturing labor-hours at $20 per hour; and a 20% markup rate on total manufacturing costs. Manufacturing overhead cost estimates for the special order total _____.
A. 40,000
B. 34,000
C. 46,000
D. 36,000
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