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Part 7 of 9 Davis & Company is an architectural firm specializing in home remodeling for private clients and new office buildings for corporate clients Davis charges customers at a billing rate equal to 132% of the client's total job cost A client's total job cost is a combination of (1) professional time spent on the client (562 per hour cost of employing each professional) and (2) operating overhead allocated to the client's job Davis allocates operating overhead to jobs based on professional hours spent on the job Davis estimates its five professionals will incur a total of 10,000 professional hours working on client jobs during the year. (Click the icon to view the operating cost information.) Annie L In additi 125 mile hours of Read the Determine the formula, then calculate the amount that would be billed to Laughlin given the current costing structure (Round all amounts to the near Total cost of job Markup percentage Amount billed to client $ 2,110 00 132% 2,785 20 Requirement 3. Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. Determine the formula, then calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs (Round th Total activity cost pool Total activity allocation base Activity cost allocation rate JUUL 0,00 5,000 $36.00 per secretarial hour Requirement 4. Calculate the amount that would be billed to Laughlin using ABC costing Determine the formula then calculate the amount that would be billed to Laughlin using ABC costing (Round all amounts to the nearest cent) Total cost of job Markup percentage Amount bited to client 509 Help me solve this Video Get more help Type here to search RI E a logo Requirements 1 2. 3. UN. Calculate the current indirect cost allocation rate per professional hour. Calculate the total amount that would be billed to Laughlin given the current costing structure Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs Calculate the amount that would be billed to Laughlin using ABC costing Which type of billing system is more fair to clients? Explain 4. 5. Print Done using ABC costing to Laughlin using ABC costing (Round all amounts to the nearest cent.) All operating costs other than professional salanes (travel roimbursements, copy costs, secretarial salaries office lease, and so forth) can be assigned to the three activities. Total activity costs cost drivers and total usage of those cost drivers are estimated as follows Total Activity Total Usage by Total Usage by Private Activity Cost Cost Driver Corporate Clients Clients Transporation to clients .. 6,000 Round-trip mileage to clients 5.500 miles 9.500 miles Blueprint copying 38 000 Number of copies 550 copies 450 copies 180 000 Secretarial time 2800 secretarial hours Office support 2.200 secretarial hours $ 224,000 Total operating overhead Print Done Clear all Final check 5:20 AM 0 ENG 1 Part 7 of 9 Davis & Company is an architectural firm specializing in home remodeling for private clients and new office buildings for corporate clients Davis charges customers at a billing rate equal to 132% of the client's total job cost. A client's total job cost is a combination of (1) professional time spent on the client (562 per hour cost of employing each professional) and (2) operating overhead allocated to the client's job Davis allocates operating overhead to jobs based on professional hours spent on the job Davis estimates its five professionals will incur a total of 10,000 professional hours working on client jobs during the year Click the icon to view the operating cost information) Annie La In additio 125 miles hours of Read the Determine the formula, then calculate the amount that would be billed to Laughlin given the current costing structure (Round all amounts to the nea Total cost of job Markup percentage Amount billed to client $ 2,110.00 132% = $ 2,785 20 X Requirement 3. Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. Determine the formula then calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. (Round Total activity cost pool Total activity allocation base = Activity cost allocation rate 5,000 $36.00 per secretarial hour Requirement 4. Calculate the amount that would be billed to Laughin using ABC costing Determine the formula then calculate the amount that would be bited to Laughlin using ABC costing (Round all amounts to the nearest cent) Total cost of job Markup percentage Amount billed to client 50% Help me solve this Video Get more help Type here to search RI a 99 ligi Requirements - X 1 be bille 1. 2. 3. Calculate the current indirect cost allocation rate per professional hour Calculate the total amount that would be billed to Laughlin given the current costing structure Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs Calculate the amount that would be billed to Laughlin using ABC costing Which type of billing system is more fair to clients? Explain that could 4. 5. ation rate Tota Print Done to Laughlin using ABC costing uld be billed to Laughlin using ABC costing (Round all amounts to the nearest cent) od to client Part 7 of 9 Davis & Company is an architectural firm specializing in home remodeling for private clients and new office buildings for corporate clients Davis charges customers at a billing rate equal to 132% of the client's total job cost A client's total job cost is a combination of (1) professional time spent on the client (562 per hour cost of employing each professional) and (2) operating overhead allocated to the client's job Davis allocates operating overhead to jobs based on professional hours spent on the job Davis estimates its five professionals will incur a total of 10,000 professional hours working on client jobs during the year. (Click the icon to view the operating cost information.) Annie L In additi 125 mile hours of Read the Determine the formula, then calculate the amount that would be billed to Laughlin given the current costing structure (Round all amounts to the near Total cost of job Markup percentage Amount billed to client $ 2,110 00 132% 2,785 20 Requirement 3. Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. Determine the formula, then calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs (Round th Total activity cost pool Total activity allocation base Activity cost allocation rate JUUL 0,00 5,000 $36.00 per secretarial hour Requirement 4. Calculate the amount that would be billed to Laughlin using ABC costing Determine the formula then calculate the amount that would be billed to Laughlin using ABC costing (Round all amounts to the nearest cent) Total cost of job Markup percentage Amount bited to client 509 Help me solve this Video Get more help Type here to search RI E a logo Requirements 1 2. 3. UN. Calculate the current indirect cost allocation rate per professional hour. Calculate the total amount that would be billed to Laughlin given the current costing structure Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs Calculate the amount that would be billed to Laughlin using ABC costing Which type of billing system is more fair to clients? Explain 4. 5. Print Done using ABC costing to Laughlin using ABC costing (Round all amounts to the nearest cent.) All operating costs other than professional salanes (travel roimbursements, copy costs, secretarial salaries office lease, and so forth) can be assigned to the three activities. Total activity costs cost drivers and total usage of those cost drivers are estimated as follows Total Activity Total Usage by Total Usage by Private Activity Cost Cost Driver Corporate Clients Clients Transporation to clients .. 6,000 Round-trip mileage to clients 5.500 miles 9.500 miles Blueprint copying 38 000 Number of copies 550 copies 450 copies 180 000 Secretarial time 2800 secretarial hours Office support 2.200 secretarial hours $ 224,000 Total operating overhead Print Done Clear all Final check 5:20 AM 0 ENG 1 Part 7 of 9 Davis & Company is an architectural firm specializing in home remodeling for private clients and new office buildings for corporate clients Davis charges customers at a billing rate equal to 132% of the client's total job cost. A client's total job cost is a combination of (1) professional time spent on the client (562 per hour cost of employing each professional) and (2) operating overhead allocated to the client's job Davis allocates operating overhead to jobs based on professional hours spent on the job Davis estimates its five professionals will incur a total of 10,000 professional hours working on client jobs during the year Click the icon to view the operating cost information) Annie La In additio 125 miles hours of Read the Determine the formula, then calculate the amount that would be billed to Laughlin given the current costing structure (Round all amounts to the nea Total cost of job Markup percentage Amount billed to client $ 2,110.00 132% = $ 2,785 20 X Requirement 3. Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. Determine the formula then calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. (Round Total activity cost pool Total activity allocation base = Activity cost allocation rate 5,000 $36.00 per secretarial hour Requirement 4. Calculate the amount that would be billed to Laughin using ABC costing Determine the formula then calculate the amount that would be bited to Laughlin using ABC costing (Round all amounts to the nearest cent) Total cost of job Markup percentage Amount billed to client 50% Help me solve this Video Get more help Type here to search RI a 99 ligi Requirements - X 1 be bille 1. 2. 3. Calculate the current indirect cost allocation rate per professional hour Calculate the total amount that would be billed to Laughlin given the current costing structure Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs Calculate the amount that would be billed to Laughlin using ABC costing Which type of billing system is more fair to clients? Explain that could 4. 5. ation rate Tota Print Done to Laughlin using ABC costing uld be billed to Laughlin using ABC costing (Round all amounts to the nearest cent) od to client

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