XYZ Company uses a job order costing system and has set a pre-determined overhead rate of 125% of direct labor cost. Job #231 was charged with direct…

XYZ Company uses a job order costing system and has set a pre-determined

overhead rate of 125% of direct labor cost. Job #231 was charged with

direct materials of $18,000 and with overhead of $20,000. Assume XYZ

Company prices its jobs at 60% above manufacturing cost.

Calculate the price charged to the customer for Job #231.

I got 86400 is that correct?

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