The answers must be in excel form. The time to build the wall is 3 months and yo

ID: 2417305 • Letter: T

Question

The answers must be in excel form. The time to build the wall is 3 months and you are costing this as if you were the manger of the project so you must include fixed and variable selling and administrative expenses.

Note: proposals like these often include scope of work based on plans dated (specificity important here) time frame exclusions 2 The Wall 1.cost the wall using variable costing 2. cost the wall using absorption costing 3. write a proposal as a sub contractor to the general contractor to build the wall 4 problem within 3 months total yards of concrete total tons of rebar total direct labor hours Direct labor rate Equip rental rate per Price of concrete Price of rebar Payroll taxes and benefits Your desired wages Office rent 10 234.95 12 13 14 15 16 17 18 19 1600 30.00 600.00 240.00 price per ready mix cubic y 800.00 per ton month 20% of labor cost 8,000.00 per month 1,000.00 per month

Explanation / Answer

Calculation of Cost of Wall using Variable costing:

Direct Materials:

Cost of Concrete (234.95 Yards * $240)

$ 56,388.00

Cost of rebar (10 tons * $800)

$ 8,000.00

Direct Labor:

Cost of Direct Labor (1600 hours *$30)

$ 48,000.00

Variable Overheads:

Payroll Taxes and benefits (48000*20%)

$ 9,600.00

Cost of Wall using Variable costing =

$ 121,988.00

(Note : Under variable costing , Direct material , direct labor and variable overhead are considered as Product costs.

Other costs are considered as period costs.