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tters ( each ) $ 0 . 4 5 rect labor ( per hour ) 8 . 0 0 verhead ( per direct labor hour
tters each
$
rect labor per hour
verhead per direct labor hour
hona's job originally took one hour and minutes of direct labor time. The removal process goes more quickly and should take only minutes.
equired:
What was the original cost of Shona's job? If required, round your answer to the nearest cent.
What is the cost of rework on Shona's job? Assume that Chip failed to ask whether the names should be placed on the back or the front of the shirts. How should the rework cost be treated? If required, round your answer to the nearest cent.
Now assume that Shona had mistakenly told Chip to put the names on the front of the shirts. In an effort to keep his customer happy, Jim suggested that Shona pay only for the new letters and the firm would pay for the labor cost. How much did Jim charge Shona in addition to the original price of the job?
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T Check My Work
Calculate the cost of the job before spoilage.
Be sure and include the extra minutes of time and the cost of redoing the letters from front to back.
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