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Cull Corporation uses a job-order costing system with a single plant wide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $497,700, variable manufacturing overhead of $2.70 per machine-hour, and 63,000 machine-hours. The company has provided the following data concerning Job X455 which was recently completed:
Number of units in the job 20
Total machine-hours 80
Direct materials $750
Direct labor cost $1,500
Problem 1: If the company marks up its unit product costs by 25% then the selling price for a unit in Job X455 is closest to: (Round your intermediate calculations to 2 decimal places.)
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