Homework Clinic

Social Science Clinic => Accounting => Topic started by: biggirl4568 on Mar 6, 2021

Title: Elite Stationary employs 20 full-time employees and 10 trainees. Direct and indirect costs are ...
Post by: biggirl4568 on Mar 6, 2021
Elite Stationary employs 20 full-time employees and 10 trainees. Direct and indirect costs are applied on a professional labor-hour basis that includes both employee and trainee hours. Following is information for 2018:

BudgetActual
Indirect costs$300,000$400,000
Annual salary of each employee$200,000 $210,000
Annual salary of each trainee$35,000$40,000
Total professional labor-hours20,000dlh40,000dlh

How much should a client be billed in a normal costing system when 1,000 professional labor-hours are used?
◦ $215,000
◦ $125,000
◦ $130,000
◦ $145,000
Title: Elite Stationary employs 20 full-time employees and 10 trainees. Direct and indirect costs are ...
Post by: helenmarkerine on Mar 6, 2021
$130,000