Alterations Inc. provides a variety of clothing alterations. Analysis of monthly costs revealed the following cost formulas when direct labor hours are used as the basis of cost determination:

Supplies: \(y=\$ 0+\$ 5.00 X\)

Production supervision and direct labor: \(y=850+\$ 6.00 X\)

Utilities: \(y=\$ 575+\$ 4 X\)

Rent: \(y=\$ 600+\$ 0.00 X\)

Advertising: \(y=\$ 85+\$ 0.00 X\)

a. Prepare a flexible budget at 400, 450,500, and 550 direct labor hours.

b. Calculate a total cost per direct labor hour at each level of activity. Round amounts to two decimal places.

c. The company's employees usually work 500 direct labor hours per month. The average alteration requires 1.50 labor hours to complete. The company wants to earn a 35 percent margin on its cost. What should be the average charge per customer, rounded to the nearest dollar to achieve the company's profit objective?