Dale,Smith,and Associates,a CPA Firm,is Trying to Determine the Hourly Cost

question 144

Essay

Dale,Smith,and Associates,a CPA firm,is trying to determine the hourly cost of its junior accountants in the auditing department.The following data have been gathered.
Assuming 40 percent of the monthly overhead costs for the auditing department are attributable to the junior accountants,compute the hourly cost of their services.(Round your answer to two decimal places. )

---

Definitions:

Overconfidence

A cognitive bias where an individual overestimates their abilities or the precision of their knowledge, often leading to mistakes in judgment.

Behavioral Biases

Psychological tendencies that affect investment decisions and financial behaviors.

Fundamental Risk

Risk that even if an asset is mispriced, there is still no arbitrage opportunity because the mispricing can widen before the price eventually converges to intrinsic value.

Implementation Costs

Refers to the expenses involved in putting a business plan or project into action, including technology, manpower, training, and other related costs.