Question 8

Problem 7-56 (Algo) Job Costs: Service Company (LO 7-4) For the month of July. UP Payroll Services worked 2,150 hours for Dune Motors, 645 hours for Jake's Charters, and 1.075 hours for Mission Hospital. UP bills clients at $121 an hour, its labor costs are $47 an hour. A total of 4,300 hours were worked in July with 430 hours not billable to clients. Overhead costs of $31.500 were incurred and were assigned to clients on the basis of direct labor-hours. Because 430 hours were not billable, some overhead was not assigned to jobs. UP had $30,100 in marketing and administrative costs. All transactions were on account. Required: a. What are the revenue and cost per client? b. Prepare an Income statement for July. Complete this question by entering your answers in the tabs below. Required A Required B What are the revenue and the cost per client? (Do not round intermediate calculations.) Dune Motors Jake's Charters Mission Hospital Revenue Labor Overhead Margin Required A Required B > Complete this question by entering your answers in the tabs below. Required A Required B Prepare an income statement for July. (Do not round intermediate calculations.) UP PAYROLL SERVICES Income Statement For the Month Ending July 31 Less cost of services to clients: Total cost of services to clients Less other costs: Total other costs