A Service Firm,such as a Law Firm,would Choose Direct Labor

question 30

Multiple Choice

A service firm,such as a law firm,would choose direct labor dollars over direct labor hours as a cost driver for overhead because:

• A)Overhead is more related to dollars charged than hours worked.
• B)Labor hours are harder to track.
• C)Labor rates change and thus overhead is automatically updated.
• D)Partners and managers incur overhead equally.

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Definitions:

Transference Neurosis

A phenomenon in psychoanalysis where patients project feelings, attitudes, or desires onto the therapist that actually stem from previous relationships in their lives.

Standard Psychoanalysis

A therapeutic method developed by Freud focusing on uncovering unconscious conflicts and motivations through techniques like dream analysis and free association.

Blank Screen

A therapeutic technique where the therapist remains neutral and refrains from disclosing personal views, encouraging patients to project their feelings or thoughts unconsciously.

Transference

A phenomenon in psychotherapy where patients project feelings or attitudes from past relationships onto the therapist.