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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.

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