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our categories of overhead. The expected overhead costs for each category for Maintenance Materials handing 26. Stanford Corporation has f next year are as follows: $210,000 90,000 75,000 150,000 Setups Inspection The company has been asked to submit a bid for a proposed job. The plant manacer mbanufacturing this job would result in new business in future years. Bids are usually based upon full manufacturing cost plus 30 percent. Estimates for the proposed job are as follows: Direct materials Direct labor (375 hours) Number of material moves Number of inspections Number of setups Number of machine-hours $5,000 $7,500 2 150 Expected activity for the four activity-based cost drivers that would be used is: Machine-hours Material moves Setups Quality inspections 10,000 2,000 100 4,000 Required a. Determine the amount of overhead that would be allocated to the proposed job if 20,000 direct labor- hours are used as the volume-based cost driver. Determine the total costs of the proposed job. Deter- mine the companys bid, if the bid is based upon full manufacturing cost plus 30 percent. (Round amounts to 2 decimal places.) Determine the amount of overhead that would be applied to the proposed project if activity-based costing is used. Determine the total costs of the proposed job if activity-based costing is used. Determine the companys bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent. (Round amounts to 2 decimal places.) b. c. Which product costing method produces the more competitive bid? (15 points)

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