management consulting firm has four types of professionals on on its staff: Managing consultants, senior associates, field and and office staff. Average rates charged to consulting clients for work of each of these professionals categories are k3150/hour, k1680/hour, k1260/hour and k630/hour respectively. Office records indicate the following number of hours billed last year in each category: 8000, 14000, 24000 and 35000, respectively. If the firm is trying to come up with an average billing rate for estimating client charges for next year, what would you suggest they do and what do you think is the appropriate rate?
management consulting firm has four types of professionals on on its staff: Managing consultants, senior associates, field and and office staff. Average rates charged to consulting clients for work of each of these professionals categories are k3150/hour, k1680/hour, k1260/hour and k630/hour respectively. Office records indicate the following number of hours billed last year in each category: 8000, 14000, 24000 and 35000, respectively. If the firm is trying to come up with an average billing rate for estimating client charges for next year, what would you suggest they do and what do you think is the appropriate rate?
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter17: Activity Resource Usage Model And Tactical Decision Making
Section: Chapter Questions
Problem 6E: Elliott, Inc., has four salaried clerks to process purchase orders. Each clerk is paid a salary of...
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management consulting firm has four types of professionals on on its staff: Managing consultants, senior associates, field and and office staff. Average rates charged to consulting clients for work of each of these professionals categories are k3150/hour, k1680/hour, k1260/hour and k630/hour respectively. Office records indicate the following number of hours billed last year in each category: 8000, 14000, 24000 and 35000, respectively. If the firm is trying to come up with an average billing rate for estimating client charges for next year, what would you suggest they do and what do you think is the appropriate rate?
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