Crede and Rensing, CPAs are preparing their service revenue (sales) budget for t

ID: 2353639 • Letter: C

Question

Crede and Rensing, CPAs are preparing their service revenue (sales) budget for the coming year 2011. The practice is divided into three departments: auditing, tax, & consulting. Billable hours for each department is by quarter, and info is provided below.

Department #1 #2 #3 #4
auditing 2116 1549 1979 2487
tax 2912 2464 2051 2416
consulting 1474 1474 1474 1474

Average hourly billing rates are: auditing $81, tax, $89, and consulting $104

Complete the service revenue sales budget for 2011 by listing the departments and showing for each quarter and the year in total, billable hours, billable rate, and total revenue.

Quater:1
Dept Billiable Hours Billable Rate Total Revenue
auditing 2116 $81 $171396
tax 2912 89 259168
consulting 1474 104 153296
totals 583860

Quarter: 2
auditing 1549 81 125469
tax 2464 89 219296
consulting 1474 104 153296
totals 498061

Quarter: 3
auditing 1979 81 160299
tax 2051 89 182539
consulting 1474 104 153296
totals 496134

Quarter: 4
auditing 2487 81 201447
tax 2416 89 215024
consulting 1474 104 153296
totals 569767

Directions:
Below is area that I am having trouble computing. I would think it would be the averages or total amounts of each group, but it's none of those thoughts. How would you figure out the totals for each department? Below with ??? is the area that needs to be answered.

Totals
Auditing ??? 81 ???
tax ??? 89 ???
consulting ??? 104 ???

Totals ???

Explanation / Answer

This is what I think it should be. Sorry if it's what you already did.

Totals
Auditing 8,131 81 658,611
tax 9,843 89 876,027
Consulting 5,896 104 613,184

Totals 2,147,822

total

Audit

2116

1549

1979

2487

8131

658611

Tax

2912

2464

2051

2416

9843

876027

Consulting

1474

5896

104

613184

2147822