Boo-keeper Ltd prepares tax returns for clients. The firm employs six bookkeepers who cost the firm £10,000 in total each week. Each bookkeeper is expected to charge 30 hours per week to client jobs. At the end of the week the total hours charged by the six bookkeepers to client jobs is 150. The cost of spare capacity is closest to:
A) £30
B) £150
C) £1668
D) £5555

Question

Quizplus · Accepted Answer

(£10,000/180 = £55.55 x 150 = £8332. £10,000 - £8,332 = £1,668)

Boo-Keeper Ltd Prepares Tax Returns for Clients