Reference no: EM132621222

Question - Green Consultants Pty Ltd specialise in consulting on landscape design. The company developed a prdetermined charge-out rate based on hours for each of its consultants on 1 July 2013 to assign the cost of labor directly associated with each client job for the coming year. The company employs four consultants who each work 40 hours per week for 48 weeks of the year; 20% of each consultant's total yearly labor time is not directly chargeable to client jobs. The budgeted total labor cost for one of the consultants, G Wuurm, is $92,160.

Required - Determine the hourly charge-out rate to be assigned as labor cost to all client jobs on which G. Wuurm works 30 June 2014. If Wuurm worked for 1,500 hours for clients during the year, what is the total labor cost charged for Wuurm.