Forrest Painting Service has budgeted the following time and materials costs for 2016: Time Material
Charges Charges
$23,000 S36,000
Painters' wages and benefits 36000
Service manager's salary and benefits 23000
Office employees' salaries and bernefits 12000 3000
Overhead costs 16000 8500
Total Budgeted Costs 64,000 34,500
1. Forrest budgets 4,000 hours of paint time and desires a $12 per hour profit. They estimate the cost of paint for the coming year to be $50,000 and they desire an additional 25% profit on the cost of paint. Compute the labor rate for 2016.
2. Forrest budgets 4,000 hours of paint time and desires a $12 per hour profit. They estimate the cost of paint for the coming year to be $50,000 and they desire an additional 25% profit on the cost of the paint. What is the material loading charge for 2016? Type in your answer as a decimal not a percentage. For example .35 not 35%
3. What would the estimated price for a job requiring 12 labor hours and paint costing $500?