Suttons Electronic Repair Shop has budgeted the following time and material for 2020. | SUTTONS ELECTRONIC REPAIR SHOP Budgeted Costs for the Year 2020 | | | | Time Charges | | Material Loading Charges | | | Shop employees wages and benefits | | $101,520 | | | | | | | | Parts managers salary and benefits | | | | | | $25,400 | | | | Office employees salary and benefits | | 19,270 | | | | 16,600 | | | | Overhead (supplies, depreciation, advertising, utilities) | | 24,910 | | | | 21,000 | | | | Total budgeted costs | | $145,700 | | | | $63,000 | | | Suttons budgets 4,700 hours of repair time in 2020 and will bill a profit of $9 per labor hour along with a 20% profit markup on the invoice cost of parts. The estimated invoice cost for parts to be used is $105,000. On January 5, 2020, Suttons is asked to submit a price estimate to fix a 72-inch flat-screen TV. Suttons estimates that this job will consume 9 hours of labor and $200 in parts. | | |  |
