Wasson’s Classic Cars restores classic automobiles to showroom s

Wasson€™s Classic Cars restores classic automobiles to showroom status. Budgeted data for the current year are:

Wasson€™s Classic Cars restores classic automobiles to showroom s

The company anticipated that the restorers would work a total of 12,000 hours this year. Expected parts and materials were $1,260,000.
In late January, the company experienced a fi re in its facilities that destroyed most of the accounting records. The accountant remembers that the hourly labor rate was $70.00 and that the material loading charge was 83.25%.

Instructions
(a) Determine the profit margin per hour on labor.
(b) Determine the profit margin on materials.
(c) Determine the total price of labor and materials on a job that was completed after the fire that required 150 hours of labor and $60,000 in parts andmaterials.

Members

  • Access to 2 Million+ Textbook solutions
  • Ask any question from 24/7 available
    Tutors
$9.99
VIEW SOLUTION

OR

Non-Members

Get help from Managerial Accounting Tutors
Ask questions directly from Qualified Online Managerial Accounting Tutors .
Best for online homework assistance.