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06-09-2019
Business

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Brooks Company is a consulting firm and applies indirect overhead costs based on billing hours. The firm expects to have $75,000 in indirect costs during the year and bill customers for 750 hours. The cost of direct labor is $55 per hour. Brooks Company completed a consulting job for George Peterson and billed the customer for 15 hours. What was the total cost of the consulting job?

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moeyaeesh moeyaeesh

12-09-2019

Answer:

$2325

Explanation:

Indirect costs =75000/750=$100 per hour

Direct Labour = $55 per hour

Total cost per hour =100+55=$155

$155 ×15= $2325

The total cost for the consulting job for George Peterson is $2325

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