Wages and methods of costing differ from garage to garage. Some garages pay their mechanics a flat rate per hour and pay one time and a half for overtime. Others add a fixed percentage per hour to the hourly rate. They pay for the overtime at the same rate.
Garages which have an incentive scheme pay the mechanic a part, usually thirty per cent or thirty-three and one-third per cent, of what the customer is charged. They dont usually pay attention to the time the mechanic has taken. The charge to the customer is based on manufacturers suggested time-schedules for work. For example, if the time allowed is three hours and the mechanic takes two and a half, the customer is charged for three hours. The mechanic receives thirty per cent of the total amount charged, not thirty per cent of the charge for the two and a half hours he actually worked on the job.
Labor charged to customers covers not only the cost of wages but also overheads . To get the cost per hour of the overheads, divide the cost of running the workshop itself by the number of hours of work available. Then add to this an amount for profit.
21. The word dismantled in the first paragraph most probably means
A. taken apart B. taken away
C. taken off D. taken over
22. It is important to obtain a clearly listed-estimate so that ______.
A. you will always obtain a lower price
B. you will get better service
C. you will not have to pay for unnecessary work
D. you will not have to pay any overtime
23. Mechanics are paid______.
A. at an hourly rate B. according to the skill needed
C. in a number of different ways D. by a percentage of the total overheads
24. According to the passage, which of the following does the customer not have to pay for?
A. Labor charges. B. Overheads.
C. The estimate. D. The profit.
25. How can a mechanic estimate the cost of a job?
A. He is unable to estimate it.
B. He can charge a percentage of the total workshop costs.
C. He can use the manufacturers schedules.
D. He can ask the customer.
21. A 22. C 23. C 24. C 25. C
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