Sebastian and Whitley, plumbers, successfully bid $30,000 for the plumbing work on a new luxury home. Total

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Sebastian and Whitley, plumbers, successfully bid $30,000 for the plumbing work on a new luxury home. Total direct labor cost on the job was $9,500, other direct costs were $2,500, and overhead is charged to jobs at 150% of direct labor cost.
1. Compute the profit or loss on the job in (a) dollars and (b) as a percentage of the bid price.
2. Express labor plus overhead as a percentage of total costs. (Round to one decimal place.)
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Principles of Cost Accounting

ISBN: 978-1305087408

17th edition

Authors: Edward J. Vanderbeck, Maria Mitchell

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