CH14-Q2A)

Pharoah Homes is a house cleaning service. As a special feature, Pharoah Homes will supply flowers or small decorator items when they clean a home. They use a time and material billing policy. Based on the following costs and desired profits, calculate the hourly rate for labour and the material loading charge for Pharoah Homes, assuming that in 3,800 hours per year they clean 680 homes. Invoice costs per year are $221,000. Labour Materials Maid's salaries $ 60,800 Office supplies $ 17,860 $ 19,890 Supplies $ 26,520 $ 5,168 Overhead on equipment Advertising costs ta $ 2,736 Desired profit $ 9 per hour 20% (a) Calculate the labour rate that Pharoah Homes uses. (Round entry to 2 decimal places, eg. 15.25.) Labour rate $