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Padong Remanufacturing rebuilds spot welders for manufacturers. The following budgeted cost data for 2006 is available for Padong.
The company desires a $35 profit margin per hour of labor and a 25% profit margin on parts. It has budgeted for 7,600 hours of repair time in the coming year, and estimates that the total invoice cost of parts and materials in 2006 will be $400,000.Compute the rate charged per hour of labor.
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