Blossom's Klassic Kars 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 Time Charges $200,000 40,000 15,000 $255,000 (a) Material Loading Charges $60,000 18,000 66,000 $144,000 The company anticipated that the restorers would work a total of 10,000 hours this year and expected that parts and materials cost $1,200,000. In late January, the company experienced a fire in its facilities that destroyed most of the accounting records. The accountant remembers that the hourly labour rate was $67 and that the material loading charge was 90.00%. Determine the profit margin per hour on labour. (Round answer to 2 decimal places, e.g. 5.25.)

Blossom's Klassic Kars 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 Time Charges $200,000 40,000 15,000 $255,000 (a) Material Loading Charges $60,000 18,000 66,000 $144,000 The company anticipated that the restorers would work a total of 10,000 hours this year and expected that parts and materials cost $1,200,000. In late January, the company experienced a fire in its facilities that destroyed most of the accounting records. The accountant remembers that the hourly labour rate was $67 and that the material loading charge was 90.00%. Determine the profit margin per hour on labour. (Round answer to 2 decimal places, e.g. 5.25.)

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter23: Flexible Budgeting (flexbud)

Section: Chapter Questions

Problem 1R

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