Reference no: EM132585280

Waterways uses time and material pricing when it bids on irrigation projects. Budgeted data for the coming year are as follows.

WATERWAYS CORPORATION

Budgeted Costs for Irrigation ProjectsTime

Charge Material

Loading

ChargesLabor wages (5,700 hours)      $238,260

Supervisor's salary                           $58,000

Clerical and accountant wages      58,1404,000

Irrigation supplies manager                 38,000

Overhead                                        55,86018,800

Total                                               $352,260

                                                     $118,800

Waterways has budgeted for 5,700 labor hours. It desires a $14 profit margin per hour of labor and 18% profit on materials. It estimates the total invoice cost of materials in the coming year will be $660,000.

Question 1: Compute the rate per hour of labor. (Round answer to 2 decimal places, e.g. 52.75.)

Question 2: Compute the material loading charge

Question 3: Waterways has received a request for a bid to do parkway for the city. The irrigation manager estimates that it will take about a month to complete the project and require 450 hours of labor and $79,000 of materials Compute the total estimated bid for the parkway project. (Round answer to 0 decimal places, e.g. 5,275.)