Which of the following is excluded from utilization rate?

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Multiple Choice

Which of the following is excluded from utilization rate?

Explanation:
Utilization rate shows how much of a professional’s time is spent on billable client work versus total time worked. Time counted toward utilization should be hours charged to clients. Activities like red-lining, drawing, and site visits are part of delivering client services and are typically billable, so they contribute to the utilization metric. Firm management, however, consists of internal, non-billable tasks that support the firm but aren’t charged to clients, so those hours are excluded from utilization.

Utilization rate shows how much of a professional’s time is spent on billable client work versus total time worked. Time counted toward utilization should be hours charged to clients. Activities like red-lining, drawing, and site visits are part of delivering client services and are typically billable, so they contribute to the utilization metric. Firm management, however, consists of internal, non-billable tasks that support the firm but aren’t charged to clients, so those hours are excluded from utilization.

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