Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

The accountant at the law firm Black and White LLP is preparing the invoice for one of the firm's clients for the month. During the

The accountant at the law firm Black and White LLP is preparing the invoice for one of the firm's clients for the month. During the month, the lawyer assigned to the client was able to charge out 25 hours. A paralegal was also able to charge out 15 hours. The lawyer's annual salary works out to $160 per hour and the paralegal's annual salary works out to $45 per hour. At the beginning of the year, the firm's management team estimated annual indirect costs to be $1,568,000. This cost was to be allocated based on 56,000 hours, which is the total direct labour hours of all of the firm's lawyers and paralegals.

Black and White charges 40% over cost on all of its invoices. What is the total invoice amount to be billed to the client for the month?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing a business risk appraoch

Authors: larry e. rittenberg, bradley j. schwieger, karla m. johnston

6th Edition

9780324645095, 324645090, 978-0324375589

Students also viewed these Accounting questions