Rollins and Cohen, CPAs, offer three types of services to clients: auditing, tax, and small…
Rollins and Cohen, CPAs, offer three types of services to clients: auditing, tax, and small business accounting. Based on experience and projected growth, the following billable hours have been estimated for the month ending January 31, 20Y7:
| Billable Hours | |||
| Audit Department: | |||
| Staff | 22,400 | ||
| Partners | 7,900 | ||
| Tax Department: | |||
| Staff | 13,200 | ||
| Partners | 5,500 | ||
| Small Business Accounting Department: | |||
| Staff | 3,000 | ||
| Partners | 600 | ||
Based on the data provided above and assuming that the average compensation per hour for staff is $45 and for partners is $140, prepare a professional labor cost budget for each department for Rollins and Cohen, CPAs, for the month ending January 31, 20Y7.
| Staff | Partners | Total | |
| Hours required for professional services | |||
| Audit department hours | fill in the blank 1 | fill in the blank 2 | |
| Tax department hours | fill in the blank 3 | fill in the blank 4 | |
| Small business accounting department hours | fill in the blank 5 | fill in the blank 6 | |
| Total hours | fill in the blank 7 | fill in the blank 8 | |
| Average compensation per hour | x $fill in the blank 9 | x $fill in the blank 10 | |
| Total professional labor cost | $fill in the blank 11 | $fill in the blank 12 | $fill in the blank 13 |
