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  3. an architecture firm currently does their general does their general...

Question: an architecture firm currently does their general does their general...

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3. (12 points total) nd. An architecture firm currently does their general accounting work in house, and have a firm comes in uarterly review the records and and Prepare financial statements and related analysis. firm has assigned one of their work of ve staff to do this work. He spends half of his time doing the accounting cost the other half of hi providing assistance on design The salary and benefits time each year for the this person is per com accounting software. accounting work and they pay $1,000 per year for The firm recently submitted a proposal to do this work on an hourly basis. The cost companys CPA estimated to be 22,400 based on 800 hours at based on the present volume of work, is all supplies and software. $28.00 per hour The firms cost includes Question. Should retain the bil firm to their client billing? (i.e. should they outsource this function? why and show any calculations that support your recommendation. Explain Be sure to address the issue of what happens to the existing person. Assume that the design assistance work that is done by the existing staff person is important and that the architecture have to hire a replacement existing person leaves. You will end up with two answers: 1) if the person will reduce their hours to part time and continue their design assistance work and 2) if the person will not reduce their hours to a part time status because they need a full time job. Will you lay off the existing staffperson and hire a new part time designer? Also, consider non-financial issues related to this decision.
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