You are an accountant doing an audit for a law firm. A paralegal worked for a client for 5 hours per day for 3 days. The client was billed $50 per hour, and the paralegal was paid $30 per hour. After the paralegal’s wages were paid, what was the amount made by the law firm?
Accepted Solution
A:
Total hours worked = 5 x 3 = 15 hours
Amount collected = 50 x 15 = $750 Amount paid to the paralegal = 30 x 15 = $450 Amount made by the firm = 750 - 450 = $300