Whaler utilizes automated machines to sew sails for its whaling ships. The manufacturing records indicate the Model Z7B sail uses $4,140 of fabric, requires 3 direct labor hours to finish and tie off threads and 8 hours of machine sewing time. The direct labor rate averages $14.00 per hour. Manufacturing overhead is added to the product cost of a sail based on a rate of $45 per machine hour. The company applies a 30% markup on cost. What is the sales price of a Model Z7B sail?

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The Answer of Whaler utilizes automated machines to sew sails for its whaling ships. The manufacturing records indicate the Model Z7B sail uses $4,140 of fabric, requires 3 direct labor hours to finish and tie off threads and 8 hours of machine sewing time. The direct labor rate averages $14.00 per hour. Manufacturing overhead is added to the product cost of a sail based on a rate of $45 per machine hour. The company applies a 30% markup on cost. What is the sales price of a Model Z7B sail?

Whaler Utilizes Automated Machines to Sew Sails for Its Whaling