Budgeted Activity Activity Budgeted Cost Activity Cost Driver Usage Supplies $ 2, 394, 000 Surgical hours (SH) 14, 000 Patient services 000 '95 Number of patients 800 Building cost 378, 000 Square feet 2, 700 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Service Hours Patients Square Feet General surgery 3, 200 600 750 Orthopedic surgery 10, 800 200 1, 950 Required: 1. Compute activity rates using activity-based costing. 2. Allocate overhead cost to the general surgery and to the orthopedic surgery units. Compute overhead cost per patient f surgery unit. 1. Compute activity rates using activity-based costing. Budgeted Cost Budgeted Activity Usage Activity Rate Activity Supplies Patient services Building cost 2. Allocate overhead cost to the general surgery and to the orthopedic surgery units. Compute overhead cost per patient for each surgery unit. Allocated Cost -----Activity Usage----- -----Activity rate----- General surgery Supplies