XXY Auto is a car repair shop. The shop estimates the costs of car repair services by adding the cost of labor used to complete the job, the cost of materials (spare parts and others) used on the repair job and the overhead costs. The overhead costs are allocated to each job at 140 percent of labor cost. Data related to two biggest jobs done last week and their costs are follows: Engine replacement Engine overhaul Labor cost RM2000 RM2200 Material cost RM4300 RM1200 Required:
i. Calculate the cost for each service job
ii. Calculate the service fee for each job, assuming the shop add 40 per cent profit margin to total costs