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JLR Enterprises provides consulting services throughout California and uses a joborder costing system to accumulate the
cost of client projects. Traceable costs are charged directly to individual clients; in contrast, other costs incurred by JLR
but not identifiable with specific clients, are charged to jobs by using a predetermined overhead application rate. Clients
are billed for directly chargeable costs, overhead, and a markup.
JLRs director of cost management, Victor Anthony, anticipates the following costs for the upcoming year:
The firm's partners desire to make a $ profit for the firm and plan to add a percentage markup on total cost to
achieve that figure.
On March JLR completed work on a project for Martin Manufacturing. The following costs were incurred: professional
staff salaries, $; administrative support staff, $; travel, $; photocopying, $; and other operating costs,
$
Required:
Determine JLRs total traceable costs for the upcoming year and the firm's total anticipated overhead.
Total traceable costs
Total anticipated overhead
