Wasson's Classic Cars restore classic automobiles to showroom status. Budgeted data for the current year are as follow:[picture] 1. Determine the profit margin per hour on labor.2. Determine the profit margin on materials.3. Determine the total price of labor and materials on a job that was completed after the fire that required 153 hours of la $56,200 in parts and materials. Exercise 22-10Wasson's Classic Cars restores classic automobiles to showroom status. Budgeted data for the current year are as followMaterialTimeLoadingChargesChargesRestorers' wages and fringe benefits$314,001Purchasing agent's salary and fringe benefits$75,709Administrative salaries and fringe benefits59,07520,200Other overhead costs20,01676,551Total budgeted costs$393,092$172.460The company anticipated that the restorers would work a total of 13,900 hours this year. Expected parts and materials$1,257,000.In late January, the company experienced a fire in its facilities that destroyed most of the accounting records. The accouremembers that the hourly labor rate was $69.28 and that the material loading charge was 83.19%.

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1. Determine the profit margin per hour on labor. 2. Determine the profit margin on materials. 3. Determine the total price of labor and materials on a job that was completed after the fire that required 153 hours of la $56,200 in parts and materials.

1. Determine the profit margin per hour on labor. 2. Determine the profit margin on materials. 3. Determine the total price of labor and materials on a job that was completed after the fire that required 153 hours of la $56,200 in parts and materials.

Financial & Managerial Accounting

13th Edition

ISBN:9781285866307

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter21: Budgeting

Section: Chapter Questions

Problem 21.8EX

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