work: Assignment $--$

Part $3$ of $9$

My score: $72\mathrm{.}22/100$ pis

Curtis & Company is an architectural firm specializing in home remodelling for private clients and new office buildings for corporate clients. Curtis & Company charges customers at a billing rate equal to $127\%$ of the client's total job cost.

$($Click the icon to view the cost information.$)$

Amy Lee hired Curtis& Company to remodel her kitchen. A total of $32$ professional hours were incurred on this job. In addition, Amy's remodelling job required one of the professionals to travel back and forth to her house for a total of $137$ km $.$ The blueprints had to be copied four times because Amy changed the plans several times. In addition, $19$hours of secretarial time were used lining up the subcontractors for the job.

Requirements

Requirement $1.$ Calculate the current indirect cost allocation rate per professional hour. $($Round your answer to the nearest cent.$)]$

Cost information

A client's total job cost is a combination of $(1)$ professional time spent on the client $($ $$70$ per hour cost of employing each professional$)$ and $(2)$ operating overhead allocated to the client's job. Curtis allocates operating overhead to jobs based on professional hours spent on the job. Curtis estimates its five professionals will incur a total of $10,000$ professional hours working on client jobs during the year. All operating costs other than professional salaries $($travel reimbursements, copy costs, secretarial salaries, office lease, and so forth$)$ can be assigned to the three activities. Total activity costs, cost drivers, and total usage of those cost drivers are estimated as follows: