# Accounting – Morgan Morgan Company is a consulting firm

Morgan Morgan Company is a consulting firm. The firm expects to have \$ 57 comma 600\$57,600in indirect costs during the year and bill customers for 8 comma 0008,000hours. The cost of direct labor is \$ 72\$72per hour. . 09px,=”” 12px=””>16. Calculate the predetermined overhead allocation rate for MorganMorgan. 17. MorganMorgancompleted a consulting job for StanleyStanleyGulloGulloand billed the customer for 1919hours. What was the total cost of the consulting job?18. If MorganMorganwants to earn a profit equal to 4040% of the cost of a job, how much should the company charge Mr. GulloGullo?16. Calculate the predetermined overhead allocation rate for MorganMorgan. . 09px,=”” 12px=””>Predetermined overheadEstimated billable costs/=allocation rate/=per hour17. MorganMorgancompleted a consulting job for StanleyStanleyGulloGulloand billed the customer for 1919hours. What was the total cost of the consultingjob?. 09px,=”” 12px=””>Morgan CompanyTotal Cost of the Gullo Jobhrs. x=+hrs x=Total cost18. If MorganMorganwants to earn a profit equal to 4040%of the cost of ajob, how much should the company charge Mr. GulloGullo?. 09px,=”” 12px=””>Add: Required charge for job

# Accounting – Morgan Morgan Company is a consulting firm

Question
Morgan Morgan Company is a consulting firm. The firm expects to have \$ 57 comma 600\$57,600in indirect costs during the year and bill customers for 8 comma 0008,000hours. The cost of direct labor is \$ 72\$72per hour.

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16. Calculate the predetermined overhead allocation rate for MorganMorgan.
17. MorganMorgancompleted a consulting job for StanleyStanleyGulloGulloand billed the customer for 1919hours. What was the total cost of the consulting job?
18. If MorganMorganwants to earn a profit equal to 4040% of the cost of a job, how much should the company charge Mr. GulloGullo?

16. Calculate the predetermined overhead allocation rate for MorganMorgan.

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Predetermined overhead
Estimated billable costs /
= allocation rate
/ = per hour
17. MorganMorgancompleted a consulting job for StanleyStanleyGulloGulloand billed the customer for 1919hours. What was the total cost of the consultingjob?

.09px;=”” 12px=””>
Morgan Company
Total Cost of the Gullo Job
hrs. x =
+
hrs x =
Total cost
18. If MorganMorganwants to earn a profit equal to 4040%of the cost of ajob, how much should the company charge Mr. GulloGullo?

.09px;=”” 12px=””>
Add:
Required charge for job