Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Business Management Expert

Clark and Shiffer LLP conduct activities associated to e-commerce consulting and information systems in Vancouver, British Columbia. Firm, that bills $140 per hour for services performed, is in very tight local labor market and is having difficulty finding quality help for its overworked professional staff. Cost per hour for professional staff time is $50. Information given below.

- Billable hours to clients for year totaled 6,000, consisting of: information systems services, 3,600; e-commerce consulting, 2,400.

- Administrative cost of $381,760 was (and continues to be) assigned to both services based on billable hours. These costs comprise staff support, $207,000; in-house computing, $145,000; and miscellaneous office charges, $29,760.

Recent analysis of staff support costs found the correlation with number of clients served. Inhouse computing and miscellaneous office charges differed directly with number of computer hours logged and number of client transactions, respectively.

Tabulation revealed the following data:

E-Commerce
Consulting
Information
Systems
Services Total

Number of clients .......................................................................... 60 240 300
Number of computer hours ............................................................ 2,100 2,900 5,000
Number of client transactions ......................................................... 720 480 1,200

problems:

1. Activity-based costing (ABC) is said to result in enhanced costing accuracy when compared with traditional costing procedures. Describe how this enhanced accuracy is attained.

2. Suppose that firm uses traditional costing procedures, assigning total costs on basis of billable hours. Find out the profitability of firm's e-commerce and information systems activities, expressing your answer both in dollars and as a percentage of activity revenue.

3. Repeat requirement (2), utilizing activity-based costing

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M937602

Have any Question? 


Related Questions in Business Management

A post tree outside of matts house casts a 12 foot shadow

A post tree outside of matts house casts a 12 foot shadow at a certain time of day. At the same time matt, who is 6 feet tall, casts a 2 foot shadow. How tall is the tree? How do I solve this? The marketing department of ...

You are a marketing manager for campbells and are exploring

You are a marketing manager for Campbell's, and are exploring the possible introduction of a new spicy butternut squash flavor, to be sold in a microwaveable, single-serve variety. Please respond to all of the following ...

Supplychoosing a career path can help you set professional

Supply Choosing a career path can help you set professional goals and achieve desired results. In the area of Supply Chain, various career path are available. Visit some professional organizations' (related to Supply Cha ...

1 cshyment industries inc is in the business of designing

1. C­Ment Industries, Inc. is in the business of designing, manufacturing and selling concrete equipment vehicles. In 2013, C­Ment designed and manufactured a line of concrete pumping vehicles to transfer concrete from c ...

This has to do if you are familiar This has to do if you are familiar

This has to do if you are familiar with http://www.howthemarketworks.com  web page Students will invest $50,000 in various investments to simulate actual trading over the course of the semester.  Please make sure your in ...

What is the relationship between increased social

What is the relationship between increased social responsibility and IT at the workplace? Answer in about two paragraphs with reference. Must be 200-400 words and show an understanding and full development of the concept ...

Assignmentscenarioyour company irtc manufacturing

Assignment Scenario: Your company, IRTC Manufacturing Enterprises, is upgrading its legacy billing system. The system was installed originally ten years ago, and has been upgraded according to the vendor's schedule, each ...

What types of obstaclesobjections do leaders face from

What types of obstacles/objections do leaders face from stakeholders when implementing change within an organization? What strategies can leaders use to work with stakeholders, remove obstacles, and address objections?

Need a powerpoint presentation related to proctor and

Need a Powerpoint presentation related to Proctor and Gamble with 6 references: Develop a PowerPoint presentation of 8-12 slides (with speaker's notes) that synthesizes the internal and external analyses for your selecte ...

5-page paperlike many airlines around the world leading

5-page paper Like many airlines around the world, leading Australian airline Qantas is facing very difficult times in spite of having a 65% market share in its home market of Australia. Due to rising fuel costs and a slo ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro