Thome and Crede, CPAs, are preparing their service revenue (sales) budget for the coming year (2017). The practice is divided into three departments: auditing, tax, and consulting. Billable hours for each department, by quarter, are provided below. Prepare a sales budget for 4 quarters. (LO 2) SERVICE Average hourly billing rates are auditing $80, tax $90, and consulting $110. Instructions Prepare the service revenue (sales) budget for 2017 by listing the departments and showing for each quarter and the year in total, billable hours, billable rate, and total revenue
Thome and Crede, CPAs' Service Revenue Budget for 2017 is attached.
Explanation:
The revenue for each quarter and each department is obtained by multiplying the billable hours by the billable rate.