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Fundamentals of Cost Accounting 2nd Edition by William Lanen, Carolyn Wells, Michael Maher
النسخة 2الرقم المعياري الدولي: 978-0077274993Fundamentals of Cost Accounting 2nd Edition by William Lanen, Carolyn Wells, Michael Maher
النسخة 2الرقم المعياري الدولي: 978-0077274993 تمرين 25
Job Costs: Service Company
For the month of January, Bay Accountants worked 2,000 hours for Lake Lumber, 600 hours for Marty's Marina, and 1,000 hours for the State Prison System. Bay bills clients at $120 an hour; its labor costs are $45 an hour. Atotal of 4,000 hours were worked in January with 400 hours not billable to clients. Overhead costs of $45,000 were incurred and were assigned to clients on the basis of direct labor-hours. Because 400 hours were not billable, some overhead was not assigned to jobs. Bay had $30,000 in marketing and administrative costs. All transactions were on account.
Required
a. What are the revenue and cost per client
b. Prepare an income statement for January.
For the month of January, Bay Accountants worked 2,000 hours for Lake Lumber, 600 hours for Marty's Marina, and 1,000 hours for the State Prison System. Bay bills clients at $120 an hour; its labor costs are $45 an hour. Atotal of 4,000 hours were worked in January with 400 hours not billable to clients. Overhead costs of $45,000 were incurred and were assigned to clients on the basis of direct labor-hours. Because 400 hours were not billable, some overhead was not assigned to jobs. Bay had $30,000 in marketing and administrative costs. All transactions were on account.
Required
a. What are the revenue and cost per client
b. Prepare an income statement for January.
التوضيح
موثّق
موثّق
a.
Revenue and cost for Lake Lumber
No....
Fundamentals of Cost Accounting 2nd Edition by William Lanen, Carolyn Wells, Michael Maher
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