Financial & Managerial Accounting
13th Edition
ISBN: 9781285866307
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 21, Problem 21.7EX
To determine
Budgeting is a process to prepare the financial statement by the manager to estimate the organization’s future actions. It is also helpful to satisfy the everyday activities.
To Prepare: The professional fees earned budget of Incorporation R.
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Professional Fees Earned 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
28,100
Partners
4,200
Tax Department:
Staff
21,100
Partners
2,600
Small Business Accounting Department:
Staff
3,900
Partners
500
The average billing rate for staff is $110 per hour, and the average billing rate for partners is $230 per hour.
Prepare a professional fees earned budget for Day & Spieth, CPAs, for the year ending March 31, 20Y6.
DAY & SPIETH, CPAs
Professional Fees Earned Budget
For the Year Ending March 31, 20Y6
Billable Hours
Hourly Rate
Total Revenue
Audit Department:
Staff
$
$
Partners
Total
$
Tax Department:
Staff
$
$
Partners
Total
$…
Professional Fees Earned 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
36,000
Partners
5,400
Tax Department:
Staff
27,700
Partners
3,500
Small Business Accounting Department:
Staff
4,700
Partners
700
The average billing rate for staff is $145 per hour, and the average billing rate for partners is $265 per hour.
Prepare a professional fees earned budget for Day & Spieth, CPAs, for the year ending March 31, 20Y6.
DAY & SPIETH, CPAs
Professional Fees Earned Budget
For the Year Ending March 31, 20Y6
Billable Hours
Hourly Rate
Total Revenue
Audit Department:
Staff
fill in the blank 1
$fill in the blank 2
$fill in the blank 3
Partners
fill in the blank 4
fill in the…
Professional Fees Earned Budget for a Service Company
Lundquist & Fretwell, 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 May 31,
20Y8:
Audit Department:
Staff
Partners
Tax Department:
Staff
Partners
Small Business Accounting Department:
Staff
Partners
Audit Department:
Staff
Partners
The average billing rate for staff is $140 per hour, and the
average billing rate for partners is $450 per hour.
Prepare a professional fees earned budget for Lundquist &
Fretwell, CPAS, for the year ending May 31, 20Y8.
Total
Tax Department:
Staff
Partners
Total
Small Business Accounting Department:
Staff
Partners
Billable Hours
Total
25,000
6,000
40,000
8,500
Lundquist & Fretwell, CPAs
Professional Fees Earned Budget
For the Year Ending May 31, 20Y8
Total professional fees earned
5,000
500
Billable Hours Hourly Rate Total Revenue
3
Chapter 21 Solutions
Financial & Managerial Accounting
Ch. 21 - Prob. 1DQCh. 21 - Briefly describe the type of human behavior...Ch. 21 - What behavioral problems are associated with...Ch. 21 - What behavioral problems are associated with...Ch. 21 - Under what circumstances would a static budget be...Ch. 21 - How do computerized budgeting systems aid firms in...Ch. 21 - Why should the production requirements Set forth...Ch. 21 - Prob. 8DQCh. 21 - A. Discuss the purpose of the cash budget. B. If...Ch. 21 - Give an example of how the capital expenditures...
Ch. 21 - Flexible budgeting At the beginning of the period,...Ch. 21 - Prob. 21.1BPECh. 21 - Prob. 21.2APECh. 21 - Prob. 21.2BPECh. 21 - Direct materials purchases budget My Life...Ch. 21 - Prob. 21.3BPECh. 21 - Direct labor cost budget MyLife Chronicles Inc....Ch. 21 - Prob. 21.4BPECh. 21 - Prob. 21.5APECh. 21 - Prob. 21.5BPECh. 21 - Prob. 21.6APECh. 21 - Prob. 21.6BPECh. 21 - Personal budget At the beginning of the 2016...Ch. 21 - Flexible budget for selling and administrative...Ch. 21 - Static budget versus flexible budget The...Ch. 21 - Prob. 21.4EXCh. 21 - Prob. 21.5EXCh. 21 - Prob. 21.6EXCh. 21 - Prob. 21.7EXCh. 21 - Prob. 21.8EXCh. 21 - Direct materials purchases budget Romano's Frozen...Ch. 21 - Prob. 21.10EXCh. 21 - Prob. 21.11EXCh. 21 - Direct labor cost budget Ace Racket Company...Ch. 21 - Prob. 21.13EXCh. 21 - Production and direct labor cost budgets Levi...Ch. 21 - Prob. 21.15EXCh. 21 - Cost of goods sold budget Delaware Chemical...Ch. 21 - Cost of goods sold budget The controller of...Ch. 21 - Schedule of cash collections of accounts...Ch. 21 - Schedule of cash collections of accounts...Ch. 21 - Schedule of cash payments for a service company...Ch. 21 - Schedule of cash payments for a service company...Ch. 21 - Capital expenditures budget On January 1, 2016,...Ch. 21 - Forecast sales volume and sales budget For 2016,...Ch. 21 - Sales, production, direct materials purchases, and...Ch. 21 - Budgeted income statement and supporting budgets...Ch. 21 - Cash budget The controller of Sonoma Housewares...Ch. 21 - Budgeted income statement and balance sheet As a...Ch. 21 - Prob. 21.1BPRCh. 21 - Sales, production, direct materials purchases, and...Ch. 21 - Budgeted income statement and supporting budgets...Ch. 21 - Cash budget The controller of Mercury Shoes Inc....Ch. 21 - Prob. 21.5BPRCh. 21 - Prob. 21.1CPCh. 21 - Prob. 21.2CPCh. 21 - Static budget for a service company A bank manager...Ch. 21 - Objectives of the master budget Dominos Pizza LLC....Ch. 21 - Integrity and evaluating budgeting systems The...
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