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The Legal Firm of West, Green, and Ink Uses ABC

Question 185

Matching

The legal firm of West, Green, and Ink uses ABC to allocate its overhead costs. The firm has identified the activity cost pools. Match the appropriate cost driver with these cost pools.

Premises:
Revenue billed.
CPU minutes.
Number of pages.
Direct labor cost.
Number of clients.
Number of recruits.
Direct professional hours.
Responses:
Direct labor fringe benefits.
Printing and photocopying.
Secretarial support.
Client support.
Recruiting and training.
Computer support.
Liability insurance

Correct Answer:

Revenue billed.
CPU minutes.
Number of pages.
Direct labor cost.
Number of clients.
Number of recruits.
Direct professional hours.
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