Raynham's Radiology Center (RRC) performs X-rays, ultrasounds, computer tomography (CT) scans, and magnetic resonance imaging (MRI). RRC has developed a reputation as a top Radiology Center in the state. RRC has achieved this status because it constantly reexamines its processes and procedures. RRC has been using a single, facility-wide overhead allocation rate. The vice president of finance believes that RRC can make better process improvements if it uses more disaggregated cost information. She says, "We have state-of-the-art medical imaging technology. Can't we have state-of-the-art accounting technology?"
Raynham's Radiology Center Budgeted Information for the Year Ended May 30, 2013

RRC operates at capacity. The proposed allocation bases for overhead are:
Administration ............................ Number of procedures
Maintenance (including parts) ........... Capital cost of the equipment (use Depreciation)
Sanitation ................................... Total cleaning minutes
Utilities ..................................... Total procedure minutes
1. Calculate the budgeted cost per service for X-rays, ultrasounds, CT scans, and MRI using direct technician labor costs as the allocation basis.
2. Calculate the budgeted cost per service of X-rays, ultrasounds, CT scans, and MRI if RRC allocated overhead costs using activity-based costing.
3. Explain how the disaggregation of information could be helpful to RRC's intention to continuously improve its services?

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Ultrasounds $101,000 256,000 16,400 Total CT scans X-Rays $ 62,000 42,240 22,600 MRIS $ 103,000 876,800 31,500 $ 421,000 1,600,000 94,100 20,000 250,000 Technician labor $155,000 424,960 23,600 Depreciation Materials Administration Maintenance X-Rays CT scans Total Ultrasounds MRIS 252,500 Sanitation Utilities 151,100 $2,788,700 $126,840 $373,400 $603,560 $1,011,300 2,482 Number of procedures Minutes to clean after each procedure 3,842 4,352 2,924 15 35 Minutes for each procedure 15 25 40