What price per hour should he set for labor

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Vern Schlichter, owner of The Import Shop, a garage specializing in foreign auto repairs wants to make sure that the hourly price he charges for his company's repair service will cover his costs and generate the desired profit. Using his most recent income statement, Vern estimates that he and his employees spent 8,465 hours repairing cars at a total cost (excluding parts) of $281,461. If Vern's target net profit margin is 20 percent, what price per hour should he set for labor (excluding parts)?

Reference no: EM13319862

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