Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Shale Remodeling uses time and materials pricing. It reports the following information: Direct labor rate $ 115 per DLH Non-materials-related overhead $ 85 per DLH
Shale Remodeling uses time and materials pricing. It reports the following information:
Direct labor rate | $ 115 | per DLH |
---|---|---|
Non-materials-related overhead | $ 85 | per DLH |
Materials-related overhead | 10% | of direct materials cost |
Target profit margin (both conversion and direct materials) | 20% |
What price should the company quote for a job requiring four direct labor hours and $580 in materials?
Options:
$1,134.
$1,540.
$1,312.
$1,366.
$1,714.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started