Answer:
Sweeten Company
1. Jobs during March   Job P         Job Q
Direct materials        $21,000     $12,000
Direct labor cost      $27,400      $10,700
Overhead cost =      $37,245      $31,515
Total manufacturing 
  costs                     $85,645      $54,215
Markup (80%)            68,516        43,372
Total Selling price  $154,161      $97,587
Units produced            20              30
Unit selling price $7,798.05  $3252.90
Workings:
M. Overhead rate        $9.55       $9.55      
Total machine hours   3,900       3,300
Overhead cost =     $37,245    $31,515
2. Cost of goods sold for March = $139,860 ($85,645 + $54,215)
3. Company's predetermined overhead rates:
 Molding Department          $7.00 Fabrication Department    $13.80
4. Manufacturing Overhead applied: 
                          Job P     Job Q   Overhead Rate
Molding            2,500      1,600          $7.00
Overhead
  applied         $17,500  $11,200
5. Overhead applied
                          Job P     Job Q   Overhead Rate
Fabrication        1,400      1,700         $13.80
Overhead
  applied         $19,320  $23,460
                                     Job P         Job Q
Direct materials        $21,000      $12,000
Direct labor cost      $27,400      $10,700
Overhead applied    $19,320     $23,460
Total cost                 $67,720      $46,160
Units produced          20                30
Unit cost                  $3,386       $1,538.67
6. Unit cost of P = $3,386
7. Unit cost of Q = $1,538.67
8.                                 Job P         Job Q
Total cost                 $67,720      $46,160
Mark-up (80%)            54,176       36,928
Total Selling price  $121,896      $83,088 
Unit Selling price      $6,094.80    $2,769.60
9. Cost of goods sold for March = $113,880 ($67,720 + $46,160)
 
Explanation:
Departments:
                                                                      Molding   Fabrication     Total
Estimated total machine-hours used             2,500      1,500          4,000
Estimated total manufacturing overhead
      Fixed                                                      $12,000  $16,200     $28,200
      Variable per machine-hour                      $2.20      $3.00
      Variable manufacturing overhead        $5,500    $4,500     $10,000
Estimated total manufacturing overhead $17,500  $20,700     $38,200
Predetermined overhead rate =
Estimated total manufacturing overhead / estimated total machine hours used                                                               $7.00     $13.80          $9.55
   
Jobs during March   Job P         Job Q
Direct materials      $21,000   $12,000
Direct labor cost    $27,400    $10,700
Actual machine-hours used:
Molding                      2,500        1,600
Fabrication                 1,400         1,700
Total                          3,900        3,300