Turco Consulting Is Providing Consulting Services to a Client

question 110

Multiple Choice

Turco Consulting is providing consulting services to a client. For this consulting assignment, Turco used $500 in supplies and 175 hours of consulting time. Turco charges clients $200 per hour and pays its consultants $115 per hour. Turco assigns overhead to jobs based on a rate of $50 per labor hour. The entry to record the cost of this service when billed would include a:

• A) Debit to Cost of Services for $29,375
• B) Credit to Cost of Services for $29,375
• C) Debit to Cost of Services for $35,000
• D) Debit to Work-in-Process Services for $35,000

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Definitions:

Liquid Asset

An asset that can easily be converted into cash in a short period without losing value.

Function Of Money

Refers to the main roles of money in an economy, which include being a medium of exchange, a unit of account, a store of value, and sometimes, a standard of deferred payment.

Functions Of Money

Money serves as a medium of exchange, a measure of value, a standard of deferred payment, and a store of wealth.

President

The elected head of a republican state or the executive leader of an organization, company, club, or other governing body.