Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their...
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Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next> Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next> Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next> Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next> Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next> Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow. Activity Supplies Patient services Building cost Budgeted Activity Usage 11,000 400 Budgeted Cost Activity Cost Driver $ 2,090,000 26,000 341,000 Surgical hours (SH) Number of patients Square feet 3,100 The two main surgical units and their actual activity usage follow. Actual Activity Usage Surgical Hours Service General surgery Orthopedic surgery Patients Square Feet 810 3,600 7,400 300 100 2,290 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 for each surgery unit. 1. Compute activity rates using activity-based costing. Activity Budgeted Cost Budgeted Activity Usage Activity Rate 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. < Prev 3 of 3 Next> 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 General surgery -Activity Usage-- Activity rate- Supplies Patient services Building cost Overhead cost per patient --Activity rate- Allocated Cost Orthopedic Surgery --Activity Usage- Supplies Patient services Building cost < Prev 3 of 3 Next>
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Related Book For
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
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