Chirac & Partners, a Quebec-based public accounting partnership, specializes in audit services. Its job-oosting system has a single direct-cost category (professional labor) and a single indirect-cost pool (audit support, which contains all costs of the Audit Support Department). Audit support costs are allocated to individual jobs using actual professional labor-hours. Chirac & Partners employs 10 professionals to perform audit services. Budgeted and actual amounts for 2017 are as follows: Click the icon to view the date.) Read the requirements Requirement 1. Compute the direct-cost rate and the indirect-cost rate per professional labor-hour for 2017 under al actual casting ibi normal casting and in the variation from normal costing that uses budgeted rates for direct costs. Begin by identifying the formula to calculate the actual indirect-cost rate. Data Table Actual indirect-costs Actual direct labor-hours Identify the formula to calculate the budgeted indirect-cost rate -- Identify the formula to calculate the budgeted direct-cost rate. Chirac & Partners Budget for 2017 Professional labor compensation Audit support department costs Professional labor-hours billed to clients 5960.000 S720,000 1 16.000 hours Compute the direct-cost rate and the indirect-cost rate per professional labor-hour for (a) (b) (c) Normal Actual Costing Variation Normal Cos Costing Actual results for 2017 Audit support department costs Professional labor-hours billed to clients Actual professional labor cost rate S744,000 15.500 hours $53 per hour Direct-cost rate Indirect-cost rate Requirement 2. Which job-costing system would you recommend Chirac & Partners Print Done Intl done, I would recommend Chirac use by Chirac & Partners should choose a jab-coating system based on the calculating a to costos. enables Chirac to use the to estimate the cost of a job as soon as the job is completed. as the jobs are being completed, I would recommend that Chirac use the This would allow Chirac to estimate costs on a more-timely If Chirac does not know basis. Choose from any list or enter any number in the input fields and then continue to the next question O Chirac & Partners, a Quebec-based public accounting partnership, specializes in audit services. Its job-costing system has a single direct-cost category (professional labor) and a single indirect-cost pool (audit support, which contains all costs of the Audit Support Department). Audit support costs are allocated to individual jobs using actual professional labor-hours. Chirac & Partners employs 10 professionals to perform audit services. Budgeted and actual amounts for 2017 are as follows: Click the icon to view the data.) Read the requirements Requirement 1. Compute the direct-cost rate and the indirect-cost rate per professional labor-hour for 2017 under (a) actual cosling, (b) normal costing and (c) the variation from normal costing that uses budgeted rates for direct costs Begir by identifying the formula to calculate the actual indirect costriale. Actual indirect costs | Actual direct labor-hours Actual indirect-cost rate Identify the formula to calculate the budgeted indirect-cost rate. 1 Budgeted indirect cost rate Identify the formula to calculate the budgeted direct-cost rats. Budgeted direct-cost rate Compute the direct-cost rate and the indirect-cost rate per professional laber-hour for 2017 under each method. (a) (b) Actual Normal (c) Variation of Normal Costing Costing Costing Direct-cost rate Indirect-oost rate Requirement 2. Which Job-costing system would you recommend Chirac & Partners use? Explain. Chirac & Partners should choose a job-costing syster based on the information available to them. I Chirac knows as the jobs are being done, I would recommend Chirac use to estimate the cost of a job as soon as the job is completed. calculating a to coest jobs. v enables Chirac to use the If Chirac does not know as the Jobs are being completed, I would recommend that Chirac use the This would allow Chirac to estimate costs on a more-timely basis Choose from any list or enter any nurrber in the input fields and then continue to the next question. 2 Chirac & Partners, a Quebec-based public accounting partnership, specializes in audit services. Its job-oosting system has a single direct-cost category professional labor) and a single indirect-cost pool (audit support, which contains all costs of the Audit Support Department). Audit support costs are allocated to individual jobs using actual professional labor-hours. Chirac & Partners employs 10 professionals to perform audit services. Budgeted and actual amounts for 2017 are as follows: (Click the icon to view the date.) Read the requirements Requirement 3. Chiroc's 2017 audit of Pierre & Co. was budgeted to take 10 hours of professional labor time. The actual professional labor time spent on the audit was 195 hours. Compute the cost of the: Pierre & Co. audit using a actual costing, (1) normal costing, and (c) the variation from normal cesting that uses budgeted ratcs for direct costs. Explain any differences in the job cost. Begin by identifying the formulas to calculate the direct and indirect costs under actual costing, (a) Actual Costing Direct-costs Indirect costs Identify the formulas to calculate the direct and indirect-costa under normal costing. (b) Normal Costing Direct-costs Indirect-costs = 1: Identify the formulas to calculate the direct and indirect-costs under the variation of normal costing. (c) Variation of Normal Coating Direct costs Indirect-costs US Compute the cost of the Pierre & Co. audit under each of the three methods (a) Actual (b) Normal Costing (c) Variation of Normal Costing Costing Cost of Pierre audit: Direct costs Choose from any list or enter any number in the input fields and then continue to the next question, Chirac & Partners, a Quebec-based public accounting partnership, specializes in audit services. Its job-costing system has a single direct-cost category (professional labor) and a single indirect-cost pool audit support, which contains all costs of the Aud Support Department), Audit support costs are allocated to individual jobs using actual professional labor hours. Chirac & Partners employs 10 professionals to perform audit services, Budgeted and actual amounts for 2017 are as follows: E: (Click the icon to view the data. Read the requirements Direct costs Indirect costs Identify the formulas to calculate the direct and indirect costs under the variation of normal costing (c) Variation of Normal Coating: Direct-costs Indirect conta Compute the cost of the Pierre & Co. audit under each of the three methods. (b) (c) Variation of Normal Actual Costing Costing Normal Costing Cost of Pierre audit: Direct-costa Indirect costs Total job costs the actual professional labor time of 195 hours. The budgeted 180 hours This is because the The actual costing figure of S actual indirect-cost rate of S the normal costing figure of the budgeted indirect-cost rate of $ The normal costing figure of $ This is because the variation of normal costing figure of S the budgeted direct-coat rate of $ the actual direct-cost rate of S Choose from any list or enter any number in the input fields and then continue to the next