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Several days ago you took your TV set into a shop to have some repair work done. When you later picked up the set, the
Several days ago you took your TV set into a shop to have some repair work done. When you later picked up the set, the bill showed a $75 charge for labor. This charge represented two hour of service time-$30 for the first hour and $45 for the second. When questioned about the difference in hourly rates, the shop manager explained that work on your set was started at 4 oclock in the afternoon. By the time work was completed two hours later at 6 oclock, an hour of overtime had been put in by the repair technician. The second hour therefore contained a charge for an overtime premium because the company had to pay the repair technician time and a half for any work in excess of eight hours per day. The shop manager further explained that the shop was working overtime to catch up a little on its backlog of repairs, but it still needed to maintain a decent profit margin on the technicians time. Q:Do you agree with the shops computation of the service charge on your job
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