Fred Burgess Diesel Service, Inc. repairs commercial diesel generators used to power heavy equipment and locomotive motors for the BNSF Railway. The following budgeted cost data is available for 2022:

Time Material Charges Charges Technicians wages and benefits $610,000 Parts managers salary and benefits $ 90,000 Office managers salary and benefits 72,000 18,000 Other overhead 38,000 105,000 Total budgeted costs $720,000 $213,000

The company has budgeted for 8,000 hours of technician time during the coming year. It desires a $75 profit margin per hour of labor and a 45% profit margin on parts. It is estimated the total invoice cost of parts and materials in 2022 will be $1,200,000.

1. Compute the rate charged per hour of labor. 2. Compute the material loading charge. 3. Fred has received a request from BNSF Railway for an estimate to repair a diesel generator for their Roseville Locomotive #459. Fred estimates that it would take 24 hours of labor and $10,300 of parts. Compute the total estimated bill.