Rey Custom Electronics (RCE) sells and installs complete security, computer, audio, and video systems for homes. On newly constructed homes it provides bids using time-and-material pricing. The following budgeted cost data are available.

		Time Charges			Material Loading Charges
	Technicians' wages and benefits	$141,600			-
	Parts manager's salary and benefits	-			$34,100
	Office employee's salary and benefits	27,140			6,160
	Other overhead	15,340			40,260
	Total budgeted costs	$184,080			$80,520

The company has budgeted for 5,900 hours of technician time during the coming year. It desires a $39 profit margin per hour of labor and an 80% profit on parts. It estimates the total invoice cost of parts and materials in 2020 will be $671,000.

(a)

New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is incorrect.

Compute the rate charged per hour of labor. (Round answer to 2 decimal places, e.g. 10.50.)

Labor rate

$

per hour

(b)

Compute the material loading percentage ______%