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Assignments: SP$25=$ Cost Acc

Question $4-$ Ch$17$ Exercises New Tab

Assignments: SP$25=$ Cost Acc

Question $4-$ Ch$17$ Exercises New Tab

Assignments: SP$25=$ Cost Acc

Question $4-$ Ch$17$ Exercises New Tab

Assignments: SP$25=$ Cost Acc

Question $4-$ Ch$17$ Exercises

Kentford Associates is a small professional services firm. Last month, Kentford billed more hours than expected and profits reflected this.

$\backslash$table$[[$Reported Income Statement$],[$Billable hours ${?}^a,5,817,\backslash$table$[[5,412],[$$ $1,104,000]]],[$Revenue$,\backslash$table$[[$$ $1,148,000],[524,000]],506,000],[$Professional salaries $($all variable$),,146,000],[$Other variable costs $($e$.$g$.,$ supplies, computer services$),163,200,281,000],[$Fixed costs,$260,000,],[$Profit$,$$ $200,800,$$ $171,000]]$

${?}^a$ These are hours billed to clients. They are fewer than the number of hours worked because there is nonbillable time $($e$.$g$.,$ slack periods, time in training sessions$)$ and because some time worked for clients is not charged to them.

Required:

Prepare a flexible budget for Kentford. Use billable hours as the measure of output $($that is$,$ units produced$).$

Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar.

$\backslash$table$[[,$Flexible Budget $($based on actual of $5,817$ hours$)],[$Revenue$,],[$Costs:$,],[$Professional salaries,$],[$Other variable costs,$],[$Fixed costs,$],[$Total costs,$],[$Profit$,]]$