Keisha Tombert, the bookkeeper for Washington Consulting, a political consulting firm, has recently completed a managerial accounting course at her local college. One of the topics covered in the course was the cost of goods manufactured schedule. Keisha wondered if such a schedule could be prepared for her firm. She realized that, as a service-oriented company, it would have no work in process inventory to consider. Listed here are the costs her firm incurred for the month ended August 31, 2022. 

Instructions
a. Prepare a schedule of cost of contract services performed (similar to a cost of goods manufactured schedule) for the month.
b. List the costs not included in (a), and then explain how they would be classified and reported in the financial statements.

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Supplies used on consulting contracts Supplies used in the administrative offices Depreciation on equipment used for contract work Depreciation on administrative office equipment Salaries of professionals working on contracts Salaries of administrative office personnel Janitorial services for professional offices Janitorial services for administrative offices Insurance on contract operations Insurance on administrative operations Utilities for contract operations Utilities for administrative offices $1,700 1,500 900 1,050 15,600 7,700 700 500 800 900 1,400 1,300