[tcb] Re: Question on cost of Shop Supplies

  • From: sammie smith <bugcollections@xxxxxxxxxxxxx>
  • To: "tcb@xxxxxxxxxxxxx" <tcb@xxxxxxxxxxxxx>
  • Date: Tue, 14 Jan 2014 05:04:25 -0800 (PST)

Hey Duncan:  From an experienced accountant; there is lot of misunderstanding 
about "overhead" in cost accounting.  Want to see some of the dumbest, most 
outlandish, and downright stupid accounting in the world; examine a hospital 
bill for someone that was in the hospital for 2 or 3 days for something mild, 
like the flu. 

And then there is the fact that some firms/people are just downright fraudulent.

In the last few days I have heard of two things taking place in the auto 
industry that are unethical, fraudulent, and illegal.  One was from the used 
car industry where some dealers install an "engine light kit" which is a device 
to prevent the check engine light from coming on.  For obvious reasons.  The 
other involves a function in the auto service industry where people like the 
service advisor, parts man and others work on commission, which of course gives 
incentives to "sell" more.  Well this one involves the parts guy who simply 
fraudulently "overbills" for parts for the express purpose of padding his 
commission.

Numbers do not always tell a true tail.  IMO the "supplies" charge to which you 
are referring should simply be built into the per hour shop rate.  What's next, 
they charge you for "electricity" used, building depreciation etc etc.  The 
list is infinite. 
 

________________________________
 From: Duncan <whocanduncan1@xxxxxxxxx>
To: "tcb@xxxxxxxxxxxxx" <tcb@xxxxxxxxxxxxx> 
Sent: Tuesday, January 14, 2014 4:40 AM
Subject: [tcb] Question on cost of Shop Supplies
  


What would you say is the general, "average" charge by shops for "shop 
supplies?"

Is it usually a flat fee or a percentage of the bill? Have you noticed shops 
including taxes if a percentage?

Do you consider zip ties (cable ties) as a chargeable item or a "shop supply?" 
Do you consider $25 per cable tie excessive, if chargeable?

Ha! Can you tell there's a storm brewing in Austin?

Duncan

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