Answer the Following Question(s)using the Information Below

question 3

Multiple Choice

Answer the following question(s) using the information below.A law office employs full-time attorneys and five paraprofessionals.For the current year indirect costs were budgeted at $225,000, but actually amounted to $350,000.Direct and indirect costs are applied on a professional labour-hour basis which includes both attorney and paraprofessional hours.Total budgeted labour-hours were 25,000; however, actual labour-hours were 30,000.
-What is the overhead applied to a 500 hour job if the law office uses actual costing?

• A)$5,200
• B)$4,500
• C)$3,750
• D)$5,000
• E)$5,835

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Definitions:

Position Analysis

The process of examining the duties, tasks, and responsibilities of a job to define its specifics.

Information Inputs

Data or information that is entered into a system for processing or analysis.

Functional Job-Analysis

A method used to identify and describe the tasks, duties, and responsibilities of a job.

Effective Performers

Individuals who consistently achieve their goals and make significant contributions to organizational success through high levels of productivity and quality of work.