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Question 2-10 Points Husky Consulting provides management consulting serices to a variety of clients in Halifax and uses a job-cost system to bill its clients.

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Question 2-10 Points Husky Consulting provides management consulting serices to a variety of clients in Halifax and uses a job-cost system to bill its clients. Husky Consulting charges each of its clients based on the amount of professional (consultant's) time each job uses and adds a predetermined amount for indirect costs (all other costs of its operation) based on the number of professional hours used. Finally, Husky marks up the total cost of each job by 25% to provide a return for its shareholders. Husky's budget for 2018 was as follows: Consultant Hours Consultant Labour Cost Office Rent 8,000 hours 1,000,000 60,000 $ 80,000 40,000 Husky is bidding on a job that it estimates will require 250 consultant hours. How much should it bid on the job? Question 3-15 Points SMU Homes assembles prefabricated ski chalets in the Wentworth Valley. The company uses a job-costing system where each chalet is a job. At October 31, SMU Homes had three chalets under construction (Jobs 1723, 1724, and 1725) and one completed but unsold (Job 1720). Its Work In Process Inventory was $210,000 consisting of Job 1723 $68,000; Job 1724 $78,000; and Job 1725 $64,000. Its Finished Goods Inventory was $ 103,000. SMU Homes receives all direct material as needed and carries no Raw (Direct) Materials Inventory Manufacturing Overhead is applied ate a rate of $15.00 per direct labour hour. On average, direct labour costs $30.00 per hour During November, the amounts were spent on each Job: 1723 1724 1725 1726 22,000 $ 15,000 $ 12,000 14,000 $ 8,000 $ 6,000 18,000 Jobs 1723 and 1724 were completed and Jobs 1720 and 1724 were sold Required: 1. What is the value of the Work In Process Inventory at November 30? 2. What is the value of the Finished Goods Inventory at November 30? 3. If Jobs 1720 and 1724 were sold for $138,000 each what is SMU Homes Gross Margin for November

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