Waterways use time and material pricing when it bids on irrigation projects. Budgeted data for 2009 are as follows.

Waterways Corporation

Budgeted Costs for Irrigation Projects for 2009

____________________________Time Charges___Material Loading Charges

Labor wages (5,760 hours)...............$240,000

Supervisor's salary...............................................................$60,000

Clerical and accountant wages..............60,000..............................4,000

Irrigation supplies manager......................................................40,000

Overhead.......................................53,950.............................21,000

Total.........................................$353,950.........................$125,000

Waterways have budgeted for 5,760 labor hours. It desires a $12 profit margin per hour of labor and 15% profit on materials. It estimates the total invoice cost of materials in 2009 will be $642,000.

Instructions

(a) Compute the rate per hour of labor.(Round to two decimal places.)

(b) Compute the material loading charge.(Round to two decimal places.)

(c) Waterways have received a request for a bid to do a parkway for the city. The irrigation manager estimates that it will take about a month to complete the project and require 480 hours of labor and $80,000 of materials. Compute the total estimated bid for the parkway project.