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Whispering Homes is a house cleaning service. As a special feature, Whispering Homes will supply flowers or small decorator items when they clean a home.
Whispering Homes is a house cleaning service. As a special feature, Whispering Homes will supply flowers or small decorator items when they clean a home. They use a time and material billing policy. Based on the following costs and desired profits, calculate the hourly rate for labour and the material loading charge for Whispering Homes, assuming that in 4,200 hours per year they clean 740 homes. Invoice costs per year are $195,000 Materials Labour $63,000 Maid's salaries Office supplies Supplies Overhead on equipment Advertising costs Desired profit $19,320 $15,600 $ $11 per hour $ 25,350 4,914 3,150 21% Calculate the labour rate that Whispering Homes uses. (Round entry to 2 decimal places, e.g. 15.25.) Labour rate s Calculate the materials loading charge for whispering Homes. (Round entry to 0 decimal places, eg, 25%.) Materials loading charge Cathy, a potential new client, would like to have her home cleaned every two weeks and a large floral arrangement to be provided for the dining room table and a small arrangement for the kitchen table. Whispering Homes estimates that it will take 2 maids 4 hours to clean Cathy's home and the invoice cost for the flowers will be $55. Using the rates calculated in Parts 1. and 2, determine Cathy's bi-weekly bill. (Round entry to 2 decimal places, e.g. 15.25.) Catty's bi-weekly bill
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