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The answer is $1416, but I dont know how The budget for Klunker Auto Repair Shop for the year is as follows: begin{tabular}{|l|l|} hline Direct

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The answer is $1416, but I dont know how

The budget for Klunker Auto Repair Shop for the year is as follows: \begin{tabular}{|l|l|} \hline Direct labor per hour & $30 \\ \hline Total labor hours & 10,000 \\ \hline Overhead costs: & \\ \hline Materials handling and storage & $10,000 \\ \hline Other(rent,utilities,depreciation,insurance) & $120,000 \\ \hline Direct materials cost & $500,000 \\ \hline \end{tabular} Klunker allocates materials handling and storage costs per dollar of direct materials cost. Other overhead is allocated based on total labor hours. In addition, Klunker adds a charge of $8 per labor hour to cover the profit margin. Tardy Trucking Co. has brought one of its trucks to Klunker for an engine overhaul. If the overhaul requires twelve labor hours and $800 parts, what price should Klunker charge Tardy for these repair services

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