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King Elliott LLC (KE) is budgeting for next year. Much of the work that KE does relates to repeat business (quarterly and annual tax filings and annual audits), but the partners also work hard to gain new business. The firm employs 40 professional accountantsall salariedand four administrative staff membersall hourly. The following chart shows the number of accountants by role, along with targeted billable hours and billable rates for each level. Target Billable Hours per Person are annual amounts, as the TFC are given annually. Number of Target Billable Billable Accountants Hours per Person Rate/Hour Partner 5 1:106 $155 Manager 7 1,100 120 Senior 8 1,700 105 Staff 20 1,700 80 The administrative staff costs the firm, on average, $15 per billable hour. Additionally, miscellaneous supplies usually run $5 per billable hour. (b) Assume KE's fixed costs are budgeted at $3.3 million for next year. How much will the firm generate in operating income if all professionals hit their target billable hours? Operating income $