The romantic mountain getaway seemed like the perfect valentine's day gift. the pictures in the brochure showed couples enjoying the amenities in their cabins. when the couple arrived, they found a cold, uninviting cabin with a shortage of creature comforts--no down-filled blankets, no wood for the fireplace, paper plates and cups and a broken chair. in this service example, the was not what the customers expected.

mark, a civil engineer, entered into a contract with david. as per the contract, mark agreed to design and build a house for david for a specified fee. mark provided david with an estimation of the total cost and the contract was mutually agreed upon. however, during construction, when mark increased the price due to a miscalculation on his part, david refused to pay the amount. this scenario is an example of a mistake.

Bridge building company estimates that it will incur $1,200,000 in overhead costs for the year. additionally, the company estimates 50,000 direct labor hours will be spent building custom walking bridges for the year at a total direct labor cost of $600,000. what is the predetermined overhead rate for bridge building company if direct labor costs are to be used as an allocation base?

From what part of income should someone take savings?