Question

Island Promotional Services uses a job order system for costing and billing promotional services for dance and ballet performances. Island has four public relations specialists and office staff. At the beginning of the​ year, Island estimated the total cost of salaries and benefits for the public relations specialists at $ 684 comma 000 and a total of 7 comma 600 billable hours for the year. The office and administrative costs were estimated at $ 418 comma 000. The allocation base for office and administrative costs is billable hours. In​ June, Island signed a contract for a Russian ballet performance. It negotiated a price of $ 6 comma 400 for its services. When the job was​ complete, Island's records showed that it had logged 37.5 billable hours. What was the actual total cost of the job for​ Island? A.2063 B.5438 C.1312 D.3375

Answer 1

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