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1. Compute the billing for September/October 2017 for Russell Brady and Collin Bennet allocating OH on the basis of a single cost-driver: professional hours (estimated
1. Compute the billing for September/October 2017 for Russell Brady and Collin Bennet allocating OH on the basis of a single cost-driver: professional hours (estimated 12,500 hrs. 2017). (20 pts.) 2. Compute the billing for September/October 2017 for Russell Brady and Collin Bennet allocating OH using Activity Based Costing (ABC) with the data provided by Dinesh. (30 pts.). 3. In addressing the following questions, your task is to decide what Dinesh should do. If Dinesh decides to attend the meeting, consider the organizational impact of discussing his analysis with Kate and Tom. (50 pts) a. If you were in Dinesh's position; would you attend the Partner's meeting (where you would be asked to present your report to Kate and Tom)? Please list the pros and cons of attending or not attending the meeting? (15 pts.) b. Assume that Dinesh attended the meeting and explained to Kate and Tom the significance of differences between using one cost-driver versus using ABC costing to allocate OH. What course of action should OM take? Explain alternatives and conclude with your position. Try to be specific and address the consequences to all stakeholders involved (Russell, Colin, Danielle, John, Mr. Loveless, the rest of the Account Executives, Dinesh and so forth). (10 pts.)
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