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Calculate the direct cost of labor for the project team using the following data

ID: 1982651 • Letter: C

Question

Calculate the direct cost of labor for the project team using the following data. What are the costs for the individual project team members? What is the fully loaded cost of labor?

Name

Hours Needed

Overhead Charge

Personal Time Rate

Hourly Rate

Fully Loaded Labor Cost

Sandy

60

1.35

1.12

$18/hr

Chuck

80

1.75

1.12

$31/hr

Bob

80

1.35

0

$9/hr

Penny

40

1.75

1.12

$30/hr

Total Fully Loaded Labor Cost =

Name

Hours Needed

Overhead Charge

Personal Time Rate

Hourly Rate

Fully Loaded Labor Cost

Sandy

60

1.35

1.12

$18/hr

Chuck

80

1.75

1.12

$31/hr

Bob

80

1.35

0

$9/hr

Penny

40

1.75

1.12

$30/hr

Total Fully Loaded Labor Cost =

Explanation / Answer

To calculate direct cost of labour we need formulae i.e.

Total direct labour cost = Hourly rate * Hours needed * Overhead charge * Personal time rate

If Overhead charge and Personal time rate was not given we need to determine cost of labour using given values, but should not make zero because work done by labour should be paid.

Bob personal rate is 0 indicates that he work for full hours without any break.

Hours

Needed

Overhead

Charge

Personal

Time Rate

Hourly

Rate

Fully Loaded

Labour Cost

Name

Hours

Needed

Overhead

Charge

Personal

Time Rate

Hourly

Rate

Fully Loaded

Labour Cost

Sandy 60 1.35 1.12 $18/hr $1,632.96 Chuck 80 1.75 1.12 $31/hr $4,860.8 Bob 80 1.35 0 $9/hr $972 Penny 40 1.75 1.12 $30/hr $2,352 Total Fully Labour Cost $9,817.76
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