Wasson's Classic Cars restores classic automobiles to showroom status. Budgeted data for the current year are as follows. Restorers' wages and fringe benefits Purchasing agent's salary and fringe benefits Administrative salaries and fringe benefits Other overhead costs Total budgeted costs (a) Time Charges $200,000 40,000 10,000 $250,000 Profit margin on labor Materfal Loading Charges The company anticipated that the restorers would work a total of 10,000 hours this year. Expected parts and materials were $1,200,000 $64,000 20,000 72,000 In late January, the company experienced a fire in its facilities that destroyed most of the accounting records. The accountant remembers that the hourly labor rate was $68 and that the material loading charge was 82% $156,000 per hour Determine the profit margin per hour on labor. (Round intermediate calculations to 2 decimal places, eg. 10.25 and final answer to O decimal places, eg. 10)

Wasson's Classic Cars restores classic automobiles to showroom status. Budgeted data for the current year are as follows. Restorers' wages and fringe benefits Purchasing agent's salary and fringe benefits Administrative salaries and fringe benefits Other overhead costs Total budgeted costs (a) Time Charges $200,000 40,000 10,000 $250,000 Profit margin on labor Materfal Loading Charges The company anticipated that the restorers would work a total of 10,000 hours this year. Expected parts and materials were $1,200,000 $64,000 20,000 72,000 In late January, the company experienced a fire in its facilities that destroyed most of the accounting records. The accountant remembers that the hourly labor rate was $68 and that the material loading charge was 82% $156,000 per hour Determine the profit margin per hour on labor. (Round intermediate calculations to 2 decimal places, eg. 10.25 and final answer to O decimal places, eg. 10)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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