Question

Keisha Tombert, the bookkeeper for Cullumber Consulting, a political consulting firm, has recently completed a managerial accounting course at her local college. One of the topics covered in the course was the cost of goods manufactured schedule. Keisha wondered if such a schedule could be prepared for her firm. She realized that, as a service-oriented company, it would have no work in process inventory to consider.

Listed below are the costs her firm incurred for the month ended August 31, 2017.

Supplies used on consulting contracts		$1,920
Supplies used in the administrative offices		2,100
Depreciation on equipment used for contract work		990
Depreciation used on administrative office equipment		1,890
Salaries of professionals working on contracts		16,400
Salaries of administrative office personnel		8,440
Janitorial services for professional offices		780
Janitorial services for administrative offices		530
Insurance on contract operations		810
Insurance on administrative operations		960
Utilities for contract operations		2,430
Utilities for administrative offices		1,740

(a)

Prepare a schedule of cost of contract services performed (similar to a cost of goods manufactured schedule) for the month.

CULLUMBER CONSULTING Schedule of Cost of Contract Services Performed For the Year Ended August 31, 2017August 31, 2017For the Month Ended August 31, 2017
Contract Equipment DepreciationDepreciation Used on Administrative Office EquipmentInsurance on Administrative OperationsInsurance on Contract OperationsJanitorial Services for Administrative OfficesJanitorial Services for Professional OfficesSalaries of Administrative Office PersonnelSalaries of ProfessionalsSupplies Used in the Administrative OfficesSupplies UsedUtilities for Administrative OfficesUtilities for Contract OperationsService OverheadTotal OverheadCost of Contract Services Provided				$
Contract Equipment DepreciationDepreciation Used on Administrative Office EquipmentInsurance on Administrative OperationsInsurance on Contract OperationsJanitorial Services for Administrative OfficesJanitorial Services for Professional OfficesSalaries of Administrative Office PersonnelSalaries of ProfessionalsSupplies Used in the Administrative OfficesSupplies UsedUtilities for Administrative OfficesUtilities for Contract OperationsService OverheadTotal OverheadCost of Contract Services Provided
Contract Equipment DepreciationDepreciation Used on Administrative Office EquipmentInsurance on Administrative OperationsInsurance on Contract OperationsJanitorial Services for Administrative OfficesJanitorial Services for Professional OfficesSalaries of Administrative Office PersonnelSalaries of ProfessionalsSupplies Used in the Administrative OfficesSupplies UsedUtilities for Administrative OfficesUtilities for Contract OperationsService OverheadTotal OverheadCost of Contract Services Provided
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided		$
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided
Contract Equipment Depreciation    Depreciation Used on Administrative Office Equipment    Insurance on Administrative Operations    Insurance on Contract Operations    Janitorial Services for Administrative Offices    Janitorial Services for Professional Offices    Salaries of Administrative Office Personnel    Salaries of Professionals    Supplies Used in the Administrative Offices    Supplies Used    Utilities for Administrative Offices    Utilities for Contract Operations    Service Overhead    Total Overhead    Cost of Contract Services Provided				$

Answer 1

CULLUMBER CONSULTING
Schedule of Cost of Contract Services Performed
For the Month Ended August 31, 2017
Supplies used on consulting contracts		1920
Salaries of professionals working on contracts		16400
Service Overhead:
Depreciation on equipment used for contract work	990
Janitorial services for professional offices	780
Insurance on contract operations	810
Utilities for contract operations	2430
Total overhead		5010
Cost of Contract Services Provided		23330