Question 5 Sutton's Electronic Repair Shop has budgeted the following time and material for 2020....
60.1K
Verified Solution
Link Copied!
Question
Accounting
Question 5 Sutton's Electronic Repair Shop has budgeted the following time and material for 2020. SUTTON'S ELECTRONIC REPAIR SHOP Budgeted Costs for the Year 2020 Time Charges Material Loading Charges Shop employees' wages and benefits $94,500 Parts manager's salary and benefits $25,400 Office employee's salary and benefits 15,750 12,600 Overhead (supplies, depreciation, advertising, utilities) 20,250 16,000 Total budgeted costs $130,500 $54,000 Sutton's budgets 4,500 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 $100,000. On January 5, 2020, Sutton's is asked to submit a price estimate to fix a 72-inch flat-screen TV. Sutton's estimates that this job will consume 4 hours of labor and $200 in parts. (a) Compute the labor rate for Sutton's Electronic Repair Shop for the year 2020. (Round answer to 2 decimal places, e.g. 10.50.) Labour rate per hour $
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
