1. Compute the predetermined overhead rate. 2. Determine the total cost of serving each clent 3. Assume the company charges clients an up-front fee of $490. Food and nutritional supplements are priced at 30 percent above cost. Clients are charged $30 per hour for consulting services (both nutrition counseling and personal training), Determine the profitability of each client: Complete this question by entering your answers in the tabs below. Compute the predetermined overhead rate. Optimum Health Incorporated provides diet, fitness, and nutrition services to clents who want a healthier lifestyle. The company customizes a program for each client bosed on their individual goals that includes diet recommendations (orepackaged food and supplements), nutrition counseilng. and guided fitness (personal training). The company uses a modified job order cost system that keeps track of the cost of the food, vitamins, and nutritional supplements the company provides to each client, as well as the amount of time nutrition and fitness consultants spend with each client. Optimum applies all incirect operating costs (e.g., rent, utilities, and management salaries) as a percentage of the consultant's labor cost. During the most recent year, the firm estimated that it would pary $290,000 to its consultants and incur indirect operating costs of $435,000. Actual consultant labor costs were $305,000 and actuat indirect operating costs were $425,000. The cost records for three of Optimum's clients are summarized below: Required: 1. Compute the predetermined overhead rate. 2. Determine the total cost of serving each client 3. Assume the company charges clients an up. front fee of $490. Food and nutritional supplements are priced at 30 percent above cost. Clients are charged $30 per hour for consulting services (both nutrition counseling and personal training). Determine the profitability of each client: Complete this question by entering your answers in the tabs below. Required: 1. Compute the predetermined overhead rate. 2. Determine the total cost of serving each client. 3. Assume the company charges cllents an up-front fee of $490. Food and nutritional supplements are priced at 30 percent above cost. Clients are charged $30 per hour for consulting services (both nutrition counseling and personal training). Determine the profitability of each client. Complete this question by entering your answers in the tabs below. Determine the total cost of serving each client. 2. Determine the total cost of serving each client. 3. Assume the company charges clients an up-front fee of $490. Food and nutritional supplements are priced at 30 percent above cost. Clients are charged $30 per hour for consulting services (both nutrition counseling and personal training). Determine the profitability of each client. Complete this question by entering your answers in the tabs below. Assume the company charges clients an up-front fee of $490. Food and nutritional supplements are priced at 30 percent above cost. Cllents are charged 530 per hour for consulting services (both nutrition counseling and personal training). Determine the profitability of each client
