Jean and Tom Perritz own and manage Happy Home Helpers, Inc. (HHH), a house cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On average, HHH completes about 15,000 cleanings per year. The following total costs are associated with the total cleanings:

Required:
1. Calculate the prime cost per cleaning.
2. Calculate the conversion cost per cleaning.
3. Calculate the total variable cost per cleaning.
4. Calculate the total service cost per cleaning.
a What tf rent on the office that Jean and Tom use to run HHH increased by $1,500?
Explain the impact on the following:

a. Prime cost per cleaning

b. Conversion cost per cleaning

c. Total variable cost per cleaning

d. Total service cost per cleaning.LO1

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Direct materials Direct labor Variable overhead Fixed overhead $ 27,000 472,500 15,000 18,000