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2) A law firm hires Alexandra, as a lawyer, at an annual salary of $210,000. The firm expects her to spend 1,500 hours per year
2) A law firm hires Alexandra, as a lawyer, at an annual salary of $210,000. The firm expects her to spend 1,500 hours per year performing legal work for clients. MOH costs are assigned to clients based on attorney billing hours. Firm attorneys are expected to work a total of 28,000 direct labor hours this year. Before the fiscal year begins, the firm estimates that the total MOH costs for the upcoming year will be $896,000. a. What would be the hourly cost rate to the firm of employing Alexandra? b. If Alexandra works on client #230 for 20 hours, what direct labor cost would be traced to client #230? c. How much MOH cost will be allocated to client #230? d. What is the total job cost for client #230
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