Singapore Kitchens Pte Ltd (SKPL) provides a one-stop service for kitchen installation. The company has been...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Singapore Kitchens Pte Ltd (SKPL) provides a one-stop service for kitchen installation. The company has been invited to submit a bid for a large residential property to install a kitchen in the first apartment of a large and exclusive development. SKPL is very eager to work for this contractor, and wishes to submit a bid price that is priced to win. However, the bid cannot be loss-making; i.e. all relevant costs must be fully recovered. The financial accountant has drafted the following quotation (Job 210) for your review. Quotation - Job210 Cabinets (10 units @ $100 per unit) Screws (100 @ $0.50 per unit) Semi-skilled labour (120 hours @ $12.50 per hour) Skilled labour (120 hours @ $25 an hour) Caustic soda Electrical appliances Time cost (2 days @$200 per day) on quote preparation Total variable costs Allocated head office cost (estimated) Total costs Mark-up @ 30% (rounded up to the nearest dollar) Price Note 1 Note 1 2 3 4 5 6 7 ca 8 9 $ 1,000 50 1,500 3,000 100 3,000 400 9,050 2,255 11,305 3,392 14,697 10 cabinets will be needed. These are in continuous use by the company. The current purchase price is $120 each. 5 are held in stock at a carrying cost of $100 each. They could be sold second hand for $60. Note 2 Screws will need to be purchased. They cost $50 for a box of 100. Note 3 Semi-skilled labour is currently paid $12.50 an hour. Half of the work needed on Job 210 can be absorbed in idle time, the other half will need to be done as overtime, paid at 1.5 times the regular hourly wage. Note 4 Skilled labour is currently fully occupied on other work which generates a contribution of $25 an hour. Skilled labour is paid $25 an hour. Job 210 can either be done by diverting labour away from existing work, or by paying overtime at a rate of 1.5 times the regular hourly wage. Singapore Kitchens Pte Ltd (SKPL) provides a one-stop service for kitchen installation. The company has been invited to submit a bid for a large residential property to install a kitchen in the first apartment of a large and exclusive development. SKPL is very eager to work for this contractor, and wishes to submit a bid price that is priced to win. However, the bid cannot be loss-making; i.e. all relevant costs must be fully recovered. The financial accountant has drafted the following quotation (Job 210) for your review. Quotation - Job210 Cabinets (10 units @ $100 per unit) Screws (100 @ $0.50 per unit) Semi-skilled labour (120 hours @ $12.50 per hour) Skilled labour (120 hours @ $25 an hour) Caustic soda Electrical appliances Time cost (2 days @$200 per day) on quote preparation Total variable costs Allocated head office cost (estimated) Total costs Mark-up @ 30% (rounded up to the nearest dollar) Price Note 1 Note 1 2 3 4 5 6 7 ca 8 9 $ 1,000 50 1,500 3,000 100 3,000 400 9,050 2,255 11,305 3,392 14,697 10 cabinets will be needed. These are in continuous use by the company. The current purchase price is $120 each. 5 are held in stock at a carrying cost of $100 each. They could be sold second hand for $60. Note 2 Screws will need to be purchased. They cost $50 for a box of 100. Note 3 Semi-skilled labour is currently paid $12.50 an hour. Half of the work needed on Job 210 can be absorbed in idle time, the other half will need to be done as overtime, paid at 1.5 times the regular hourly wage. Note 4 Skilled labour is currently fully occupied on other work which generates a contribution of $25 an hour. Skilled labour is paid $25 an hour. Job 210 can either be done by diverting labour away from existing work, or by paying overtime at a rate of 1.5 times the regular hourly wage.
Expert Answer:
Answer rating: 100% (QA)
It seems that youve provided an image of a quotation for a job Job 210 for the installation of a kit... View the full answer
Related Book For
Financial Management for Public Health and Not for Profit Organizations
ISBN: 978-0132805667
4th edition
Authors: Steven A. Finkler, Thad Calabrese
Posted Date:
Students also viewed these accounting questions
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Event Trailers Ltd (ETL) manufactures mobile catering facilities for various corporate and sporting events. The company has been approached by Exquisite Catering Ltd, a company that specializes in...
-
Dollar General Corporation, headquartered in Goodlettsville, Tennessee, is an aggressive competitor in the deep discount retail industry, fighting for position with other stores such as Family...
-
Various streptococci and lactobacilli were traditionally grouped together as lactic acid bacteria because of their characteristic fermentation. Most of them were found to have a DNA Guanine plus...
-
Silver melts at 961 o C. At the melting point, what fraction of the conduction electrons is in states with energies greater than the Fermi energy of 5.5 eV?
-
(a) Evaluate (2, 1) and (2.1, 1.05) and calculate z (b) Use the total differential dz to approximate z. (x, y) = 4x + 2y
-
Fill in the Blank. If \(S(\overline{\omega)}\) has significant values over a wide range of frequencies, the process is called \(\mathrm{a}(\mathrm{n})\) _____________ process.
-
Inglis City had a beginning cash balance in its enterprise fund of $895,635. During 2014, the following transactions occurred: 1. Interest received on investments totaled $42,400. 2. The city...
-
Does the private security employee still have the equivalent power of a private citizen? Should they? Why or why not
-
please assist in implementing the included functions. import utils import pilots import os.path # WEATHER FUNCTIONS def bad_visibility(visibility,minimum): """ Returns True if the visibility...
-
Exercisel: Write a complete C++ program that gets 10 numbers from user into an array. Then, display the all array elements to the user. Exercise2: Write a complete C++ program that gets 5 numbers...
-
Conisder the following three individual protfolions cossisting of investments in four stocks: Stock beta John investment Beth investment jake investment Apple 1.3 2500 5000 10000 Tesla 1.0 2500 5000...
-
Jane is saving money so that she will have $9,000 in 6 years. She plans to make payments at the end of each quarter into an account paying interest at an annual nominal rate of 6.2% compounded...
-
The concept of market efficiency initially was developed for stock market, but it applies equally to the foreign exchange market and indeed to markets in general, financial or otherwise. In efficient...
-
Factor fully: a) 4-a b)x - 11x+18 c)x - 16x-80 d) mx + mynx - ny e)4x- 8x-5
-
One year ago you bought a 5-year 5% coupon bond that will pay $1,000 at maturity (its par value). The bond was priced at $810.46 to yield 10% and pays interest annually at the end of each year. Now,...
-
Using the following tables of a project, find the following: Present value of FCFFs in years 1-4 = ? Terminal value (=present value of perpetuity) in year 4 =? Terminal value (=present value of...
-
Halley's comet travels in an ellipti- cal orbit with a = 17.95 and b = 4.44 and passes by Earth roughly every 76 years. Note that each unit represents one astronomical unit, or 93 million miles. The...
-
Because of the downturn in the states economy, the mayor of Stratton thinks that uncollectible taxes are likely to increase from 5 percent of total tax bills to 10 percent in the coming fiscal year....
-
Urban Housing Agency (UHA) is considering contracts with private developers to provide low-income housing at various locations in the city. The startup costs to UHA for each location are $ 115,000,...
-
In theory, a capital asset must last at least one year and cost a substantial amount of money. True or false? Explain.
-
What are the two key financial objectives in the management of a company? How can a focus on these objectives create ethical dilemmas?
-
Briefly explain the difference between accounting, finance, and engineering economics. Try to put the concepts in your own (or your team's) words and compare the concepts where appropriate.
-
Among your colleagues in class, identify a term or phrase italicized in this chapter that you think is the most significant from your reading. Absent team consensus, then just provide your...
Study smarter with the SolutionInn App