Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 17 Aug 2017 My Price 6.00

groomers at Rensing

The groomers at Rensing normally work a total of 627 direct labor hours during each month. Each grooming job normally takes a groomer 1.30 hours. Milo wants to earn a profit equal to 35% of the costs incurred. Determine what he should charge each pet owner for grooming.(Round answer to 2 decimal places, e.g. 10.25.)?

Charge per client:

Rensing Groomers is in the dog-grooming business. Its operating costs are described by the following formulas:

Grooming supplies (variable)   y = $0 + $3x
Direct labor (variable)   y = $0 + $13x
Overhead (mixed)   y = $10,500 + $1x

Milo, the owner, has determined that direct labor is the cost driver for all three categories of costs.

627*3 =981

627*13 =8151

627*1=627+10,500=11,127

TOTAL COST: 20259

Answers

Maurice Tutor
(5)
Status NEW Posted 17 Aug 2017 07:08 PM My Price 6.00

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