Question: Current Attempt i n Progress Rensing Groomers i s i n the dog - grooming business. Its operating costs are described b y the following

Current Attempt in Progress
Rensing Groomers isin the dog-grooming business. Its operating costs are described by the following formulas:
Grooming supplies (variable),y=$0+$5x
Direct labor (variable),y=$0+$14x
Overhead (mixed),y=$9,100+$1x
Milo, the owner, has determined that direct labor is the cost driver for all three categories of costs.
(a) Question 1of4
510
act Labor Hours
(c) & (d)
(c) Calculate the total cost per direct labor hour at each of the activity levels specified in part (a).(Round answers to2 decimal places,
e.g.10.25.)
Activity level 1,$
Activity level 2$
Activity level 3,$
(d) The groomers at Rensing normally work a total of650 direct labor hours during each month. Each grooming job normally takes
a groomer 1.30 hours. Milo wants to earn a profit equal to40%of the costs incurred. Determine what he should charge each pet
owner for grooming. (Round answer to2 decimal places, e.g.10.25.)
Charge per client $
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Current Attempt i n Progress Rensing Groomers i s

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