Southern Tier Heating, Inc., installs heating systems in new homes built in the southern tier counties of New York state. Jobs are priced using the time and materials method. The president of Southern Tier Heating, B. T. Ewing, is pricing a job involving the heating systems for six houses to be built by a local developer. He has made the following estimates. Material cost Labor hours $74,000 550 The following predictions pertain to the company's operations for the next year. Labor rate, including fringe benefits Annual labor hours Annual overhead costs: Material handling and storage Other overhead costs Annual cost of materials used $ 25.00 per hour 14,000 hours $ 64,000 $140,000 $320,000 Required: Southern Tier Heating adds a markup of $8.00 per hour on its time charges, but there is no markup on material costs. 1. Calculate the company's time charges and the material charges percentage. (Round "Time charges" answer to 2 decimal places.) 2. Compute the price for the job. (Do not round intermediate calculations.) 3. What would be the price of the job if Southern Tier Heating also added a markup of 10 percent on all material charges (including material handling and storage costs)? (Do not round intermediate calculations.)