Cost for tax-related topics (1 day) Cost for accounting/audit-related Lunch for all training participants (3 days) Travel/lodging for trainers topics (1.5 days) Off-Site Training Tax update conference (1 day) 40 staff in tax area need update Mileage/hotel for tax conference (1 night) Accounting/audit update conference (2 days) 30 staff in accounting/audit need update Travel/lodging for accounting/audit conference (2 nights) b1) Calculate the relevant cost of each option In-house training Total relevant costs 5 $5,000 6,000 500 2,000 $400 per person 150 per person 600 per person 300 per person Off-site training

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Garcia & Associates is scheduling training for its CPAs to keep them current on tax law changes and revised financial reporting
standards. The partners discuss a number of possibilities but need your unbiased opinion-they tend to always choose in-house
training because it's less expensive. Perhaps if they altered the delivery format, the staff would be more excited about the process and
return from training with a renewed sense of commitment and zest.
Costs and other information associated with each of the two training options are as follows.
In-House Training
Any number of staff can participate
Cost for tax-related topics (1 day)
Cost for accounting/audit-related topics (1.5 days)
Lunch for all training participants (3 days)
Travel/lodging for trainers.
Off-Site Training
Tax update conference (1 day)
40 staff in tax area need update
Mileage/hotel for tax conference (1 night)
Accounting/audit update conference (2 days)
30 staff in accounting/audit need update
Travel/lodging for accounting/audit conference (2 nights)
$5,000
6,000
500
2.000
$400 per person
150 per person
600 per person
300 per person
Transcribed Image Text:Garcia & Associates is scheduling training for its CPAs to keep them current on tax law changes and revised financial reporting standards. The partners discuss a number of possibilities but need your unbiased opinion-they tend to always choose in-house training because it's less expensive. Perhaps if they altered the delivery format, the staff would be more excited about the process and return from training with a renewed sense of commitment and zest. Costs and other information associated with each of the two training options are as follows. In-House Training Any number of staff can participate Cost for tax-related topics (1 day) Cost for accounting/audit-related topics (1.5 days) Lunch for all training participants (3 days) Travel/lodging for trainers. Off-Site Training Tax update conference (1 day) 40 staff in tax area need update Mileage/hotel for tax conference (1 night) Accounting/audit update conference (2 days) 30 staff in accounting/audit need update Travel/lodging for accounting/audit conference (2 nights) $5,000 6,000 500 2.000 $400 per person 150 per person 600 per person 300 per person
Any number of staff can participate
Cost for tax-related topics (1 day)
Cost for accounting/audit-related topics (1.5 days)
Lunch for all training participants (3 days)
Travel/lodging for trainers
Off-Site Training
Tax update conference (1 day))
40 staff in tax area need update
Mileage/hotel for tax conference (1 night)
Accounting/audit update conference (2 days)
30 staff in accounting/audit need update
Travel/lodging for accounting/audit conference (2 nights)
(b1) Calculate the relevant cost of each option.
Total relevant costs
S
In-house training
$
$5,000
6,000
500
2,000
$400 per person
150 per person
600 per person
300 per person
4
Off-site training
Transcribed Image Text:Any number of staff can participate Cost for tax-related topics (1 day) Cost for accounting/audit-related topics (1.5 days) Lunch for all training participants (3 days) Travel/lodging for trainers Off-Site Training Tax update conference (1 day)) 40 staff in tax area need update Mileage/hotel for tax conference (1 night) Accounting/audit update conference (2 days) 30 staff in accounting/audit need update Travel/lodging for accounting/audit conference (2 nights) (b1) Calculate the relevant cost of each option. Total relevant costs S In-house training $ $5,000 6,000 500 2,000 $400 per person 150 per person 600 per person 300 per person 4 Off-site training
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