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A local accounting firm employs 2 1 full - time professionals. The budgeted annual compensation per employee is $ 4 3 , 0 0 0

A local accounting firm employs 21 full - time professionals. The budgeted annual compensation per employee is $43,000. The average chargeable time is 480 hours per client annually. All professional labor costs are included in a single direct - cost category and are allocated to jobs on a per - hour basis.
Other costs are included in a single indirect - cost pool, allocated according to professional labor - hours. Budgeted indirect costs for the year are $784,000, and the firm expects to have 95 clients during the coming year.
If ten clients are lost and the workforce stays at 21 employees, then the direct labor cost rate per hour. (Do not round intermediary calculations and round the final answer to the nearest cent)
A. $22.13 per hour
B. $17.19 per hour
C. $1980 per hour
D. $1556 per hour
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