Klein Research has been hired to survey cable television customers to determine their attitudes toward a restructuring of the basic cable service and rate schedule. The
Cable Company wants to classify participants according to whether or not there are
children under the age of 16 in the household and as to whether or not the household
subscribes to any premium channels.
The basic cost of conducting the interviey is $5.00. Those households with children
under 16 are asked a second series of questions, which adds an additional cost of
$4.00 to the interviews. Households with premium channels are questioned about
their viewing habits, and this adds an additional $3.00 to the cost of their interviews.
Cost is to be minimized. The Cable Company wants responses from at least 50
customers. Premium subscribers should constitute at least half of the customers
surveyed. At least 60% of households survey should have children under 16. No
more than have half of households with children should be premium subscribers.
What is the minimum cost?
600.00
754
445.00
325

The law firm of furlan and benson accumulates costs associated with individual cases, using a job order cost system. the following transactions occurred during july: jul. 3 charged 175 hours of professional (lawyer) time to the obsidian co. breech of contract suit to prepare for the trial, at a rate of $150 per hour. 10 reimbursed travel costs to employees for depositions related to the obsidian case, $12,500. 14 charged 260 hours of professional time for the obsidian trial at a rate of $185 per hour. 18 received invoice from consultants wadsley and harden for $30,000 for expert testimony related to the obsidian trial. 27 applied office overhead at a rate of $62 per professional hour charged to the obsidian case. 31 paid administrative and support salaries of $28,500 for the month. 31 used office supplies for the month, $4,000. 31 paid professional salaries of $74,350 for the month. 31 billed obsidian $172,500 for successful defense of the case. required: a. provide the journal entries for each of these transactions. refer to the chart of accounts for exact wording of account titles. b. how much office overhead is over- or underapplied? c. determine the gross profit on the obsidian case, assuming that over- or underapplied office overhead is closed monthly to cost of services.