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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Drake Consulting uses a job order costing system, in which each client is a different job. Drake assigns direct labor, daily per diem, and travel cost directly to each job. It allocates indirect costs to jobs based on a predetermined overhead allocation rate, computed as a percentage of direct labor cost. At the beginning of 2015, the controller prepared the following budget;
Direct Labor Hours Professionals 5,000 hours
Direct Labor Cost Professional $1,000,000
Support Staff Salaries 100,000
Computer Leases 80,000
Office Supplies 20,000
Office Rent 60,000
In November 2015, Drake served several clients. Records for the two clients appear here:
Owen's Trains          Marcia's Cookies
Direct Labor Hours                                          710 hours                        200 hours
Meal per Diem                                                 $2,500                            $600
Travel Costs                                                     $7,000                             $0
Requirement 3
Allocate Indirect Cost         OwenAc€?cs Trains MarciaAc€?cs
____% X _______Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â ________
____% X _______Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â ______
Total Cost                             ________               ________
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