Harris is the owner of a business that sells and installs home theatre systems. He just completed
Question:
Harris is the owner of a business that sells and installs home theatre systems. He just completed a job for a builder consisting of the installation of
10 home theatre systems in a new condominium complex. The installations required materials total ling $ 18 comma 700 and 74 hours of direct labor hours at a wage rate of $38 per hour. Overhead is allocated to jobs using a predetermined overhead rate of $4 per direct labor hour.
1. What is the total cost of the job?
2.What is the average unit cost (per theatre system installed)?
3.??If Peter charges a price to the builder that is 160% of the total job cost, what price will he charge for the job?
1. What is the total cost of the job?
Total job cost |
Managerial Accounting
ISBN: 978-0176223311
1st Canadian Edition
Authors: Karen Wilken Braun, Wendy Tietz, Walter Harrison, Rhonda Pyp