How fixed cost allocation affects a pricing decision Eisner Manufacturing Company expects to make 30,000 travel sewing kits during 2007. In January, the company made 1,800 kits. Materials and labor costs for January were $7,200 and $9,000, respectively. In February, Eisner produced 2,200 kits. Material and labor costs for February were $8,800 and

$11,000, respectively. The company paid $42,000 for annual factory insurance on January 10, 2007.

Ignore other manufacturing overhead costs.

Required Assuming that Eisner desires to sell its sewing kits for cost plus 25 percent of cost, what price should it charge for the kits produced in January and February?