Question

Slider processes rebate requests for a large building supply firm. Slider processed 420,000 rebates in March. All rebates are processed the same day they are received. March costs were labor of $28,000 and overhead of $14,000. What is the cost to process 1,000 rebates?

Answer 1

Answer:

process cost for 1000 rebate  = $100

Explanation:

given data

rebates = 420,000

costs labor = $28,000

overhead = $14,000

to find out

cost to process 1,000 rebates

solution

first we get here total cost process that is express as

total cost process = costs labor + overhead    .............1

total cost process = $28000 + 14000

total cost process = $42000

and process cost per rebate will be here as

process cost per rebate = $\frac{42000}{420000}$

process cost per rebate = 0.10

so process cost for 1000 rebate will be as

process cost for 1000 rebate = 0.10 × 1000

process cost for 1000 rebate  = $100