Rennie Plant Service completed a special landscaping job for Brenton Company. Rennie uses ABC and has the

Question:

Rennie Plant Service completed a special landscaping job for Brenton Company. Rennie uses ABC and has the following predetermined overhead allocation rates


The Brenton job included $1,500 in plants; $800 in direct labor; one design; and 30 plants.


Requirements 

1. What is the total cost of the Brenton job? 

2. If Brenton paid $3,690 for the job, what is the operating income or loss? 

3. If Rennie desires an operating income of 30% of cost, how much should the company charge for the Brenton job?  

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Horngrens Financial And Managerial Accounting

ISBN: 9780134486833

6th Edition

Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura

Question Posted: