Ramsey ltd offers on-site, household appliance repairs to householders. Each month, there are2300.00direct labour hours worked on repairs to washing machines, dishwashers and freezers. During the most recent month, the business incurred the following expenses: £Direct materials 8,000Direct labour 30,000Overheads 20,000 During the month, a dishwasher was repaired for a customer. Replacement parts cost£135and a technician took5hours to carry out the repair work. The business uses the direct labour hour basis for overhead recovery and charges an additional40%to the full cost of a job as a profit mark-up. What should be the price charged to the customer for repairs to the dishwasher? (All calculations to nearest pence.) Question content area bottomPart 1The price charged to the customer for repairs to the dishwasher is£enter your response here .

Price Charged- Price charged suggests that the value a client is charged for associate item. For…

Answered: Ramsey ltd offers on-site, household…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 2PA: York Company Is a machine shop that estimated overhead will be $50,000, consisting of 5,000 hours of...

See similar textbooks

Related questions

Question

Ramsey ltd offers on-site, household appliance repairs to householders. Each month, there are

2300.00

direct labour hours worked on repairs to washing machines, dishwashers and freezers. During the most recent month, the business incurred the following expenses:

		£
Direct materials		8,000
Direct labour		30,000
Overheads		20,000

During the month, a dishwasher was repaired for a customer. Replacement parts cost

£135

and a technician took

hours to carry out the repair work. The business uses the direct labour hour basis for overhead recovery and charges an additional

40%

to the full cost of a job as a profit mark-up.

What should be the price charged to the customer for repairs to the dishwasher? (All calculations to nearest pence.)

Question content area bottom

Part 1

The price charged to the customer for repairs to the dishwasher is

£enter your response here

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.