Crane's Custom Electronics (CCE) sells and installs complete security, computer, audio, and video systems for homes. On newly constructed homes, it provides bids using time-and-material pricing. The following budgeted cost data are available: Material Loading Charges Time Charges Technicians' wages and benefits $154,180 Parts manager's salary and benefits $33,408 Office employee's salary and benefits 25,499 11,832 Other overhead 17,197 41,760 Total budgeted costs $196,876 $87,000 The company has budgeted for 5,930 hours of technician time during the coming year. It wants a $41 profit margin per hour of labour and a 100% profit on parts. It estimates the total invoice cost of parts and materials in 2022 will be $696,000. (a) (b) Calculate the material loading percentage. (Round answer to 2 decimal places, e.g. 15.25%.) Material loading Q Search %
Crane's Custom Electronics (CCE) sells and installs complete security, computer, audio, and video systems for homes. On newly constructed homes, it provides bids using time-and-material pricing. The following budgeted cost data are available: Material Loading Charges Time Charges Technicians' wages and benefits $154,180 Parts manager's salary and benefits $33,408 Office employee's salary and benefits 25,499 11,832 Other overhead 17,197 41,760 Total budgeted costs $196,876 $87,000 The company has budgeted for 5,930 hours of technician time during the coming year. It wants a $41 profit margin per hour of labour and a 100% profit on parts. It estimates the total invoice cost of parts and materials in 2022 will be $696,000. (a) (b) Calculate the material loading percentage. (Round answer to 2 decimal places, e.g. 15.25%.) Material loading Q Search %
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter5: Product And Service Costing: Job-order System
Section: Chapter Questions
Problem 27P: Firenza Company manufactures specialty tools to customer order. Budgeted overhead for the coming...
Related questions
Question
Provide the Correct answer of the question @@@
![Crane's Custom Electronics (CCE) sells and installs complete security, computer, audio, and video systems for homes. On newly
constructed homes, it provides bids using time-and-material pricing. The following budgeted cost data are available:
Material Loading
Charges
Time Charges
Technicians' wages and benefits
$154,180
Parts manager's salary and benefits
$33,408
Office employee's salary and benefits
25,499
11,832
Other overhead
17,197
41,760
Total budgeted costs
$196,876
$87,000
The company has budgeted for 5,930 hours of technician time during the coming year. It wants a $41 profit margin per hour of labour
and a 100% profit on parts. It estimates the total invoice cost of parts and materials in 2022 will be $696,000.
(a)
(b)
Calculate the material loading percentage. (Round answer to 2 decimal places, e.g. 15.25%.)
Material loading
Q Search
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff66b3219-c014-4ee9-92ec-cef0c43a33af%2F69151d9b-ab5b-46cd-b606-3cf88ae948f0%2F2m4u5ri_processed.png&w=3840&q=75)
Transcribed Image Text:Crane's Custom Electronics (CCE) sells and installs complete security, computer, audio, and video systems for homes. On newly
constructed homes, it provides bids using time-and-material pricing. The following budgeted cost data are available:
Material Loading
Charges
Time Charges
Technicians' wages and benefits
$154,180
Parts manager's salary and benefits
$33,408
Office employee's salary and benefits
25,499
11,832
Other overhead
17,197
41,760
Total budgeted costs
$196,876
$87,000
The company has budgeted for 5,930 hours of technician time during the coming year. It wants a $41 profit margin per hour of labour
and a 100% profit on parts. It estimates the total invoice cost of parts and materials in 2022 will be $696,000.
(a)
(b)
Calculate the material loading percentage. (Round answer to 2 decimal places, e.g. 15.25%.)
Material loading
Q Search
%
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College