Professional Labor Cost Budget Day & Spieth, 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 year ending March 31, 20Y6: Billable Hours Audit Department: Staff 50,000 Partners 10,000 Tax Department: Staff 75,000 Partners 16,000 Small Business Accounting Department: Staff 20,000 Partners 4,000 Assume that the average compensation per hour for staff is $36 and for partners is $300. Prepare a professional labor cost budget for Day & Spieth, CPAs, for the year ending March 31, 20Y6. Enter all amounts as positive numbers. DAY & SPIETH, CPAs Professional Labor Cost Budget For the Year Ending March 31, 20Y6 Staff Partners 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 $fill in the blank 9 $fill in the blank 10 Total professional labor cost $fill in the blank 11 $fill in the blank 12
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Professional Labor Cost Budget
Day & Spieth, 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 year ending March 31, 20Y6:
| Billable Hours | |||
| Audit Department: | |||
| Staff | 50,000 | ||
| Partners | 10,000 | ||
| Tax Department: | |||
| Staff | 75,000 | ||
| Partners | 16,000 | ||
| Small Business Accounting Department: | |||
| Staff | 20,000 | ||
| Partners | 4,000 |
Assume that the average compensation per hour for staff is $36 and for partners is $300.
Prepare a professional labor cost budget for Day & Spieth, CPAs, for the year ending March 31, 20Y6. Enter all amounts as positive numbers.
| DAY & SPIETH, CPAs | ||
| Professional Labor Cost Budget | ||
| For the Year Ending March 31, 20Y6 | ||
| Staff | Partners | |
| 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 | $fill in the blank 9 | $fill in the blank 10 |
| Total professional labor cost | $fill in the blank 11 | $fill in the blank 12 |
Step by step
Solved in 2 steps
