Question
Oriole Remanufacturing rebuilds spot welders for manufacturers. The following budgeted cost data for 2022 are available for Oriole: Time Charges Material Loading Charges Technicians wages
Oriole Remanufacturing rebuilds spot welders for manufacturers. The following budgeted cost data for 2022 are available for Oriole:
Time Charges | Material Loading Charges | ||||
---|---|---|---|---|---|
Technicians wages and benefits | $260,700 | ||||
Parts managers salary and benefits | $36,960 | ||||
Office employees salary and benefits | 63,200 | 16,720 | |||
Other overhead | 23,700 | 25,520 | |||
Total budgeted costs | $347,600 | $79,200 |
The company wants a $35 profit margin per hour of labour and a 30% profit margin on parts. It has budgeted for 7,900 hours of repair time in the coming year and estimates that the total invoice cost of parts and materials in 2022 will be $352,000.
(a)
Calculate the rate charged per hour of labour.
Rate charged | $enter the rate charged in dollars per hour per hour |
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