You have just made it to Manager at a mid-sized accounting firm. You have always wanted to introduce ABC as a method for tracing internal costs. You have done research on the standards used in firms of this size.
You have just made it to Manager at a mid-sized accounting firm. You have
always wanted to introduce ABC as a method for tracing internal costs. You
have done research on the standards used in firms of this size.
Position Billing Rate/Hr
Currently there are : - Senior Partner $250.00
- Junior Partner 00
Total Billing rates $400.00
All partners have billing rates consistent with professional practice standards
and clients are billed on the basis of partners’ billing rates, plus 20% of partners’ billing rates as an
Two clients were billed for work performed during the month just ended as follows:
Senior Partner Junior Partner Totals
Delta Corp. 10 Hours 15 Hours 25Hours
Zeno Ltd 15 Hours 10 Hours 25Hours
Total CPA Hrs 25 Hours 25 Hours 50Hours
Required: Please provide the details of the invoice that would be prepared on the above basis for billing the individual clients.
Invoice: Time Charges Overhead Total Charges
Senior Partner Junior Partner
Client : Delta Corp
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