Finance Week 3 Problem
Question # 00020137
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Updated on: 07/18/2014 12:57 AM Due on: 07/18/2014
Key Information | ||||||||||||
Cost Drivers | Unit Measure | |||||||||||
Financial Services | Patient Services Revenue | |||||||||||
Facilities | Square Footage | |||||||||||
Housekeeping | Labor Hours | |||||||||||
Administration | Salary Dollars | |||||||||||
Personnel | Salary Dollars | |||||||||||
Patient Services | Square Ft | Housekeeping | Salary Dollars | |||||||||
Revenue | Labor Hours | |||||||||||
Routine care | $ 14,000,000 | 165,000 | 68,000 | $ 4,000,000 | ||||||||
Laboratory | $ 5,000,000 | 30,000 | 3,800 | $ 750,000 | ||||||||
Radiology | $ 3,500,000 | 65,000 | 7,400 | $ 1,056,300 | ||||||||
Total | $ 22,500,000 | 260,000 | 79,200 | $ 5,806,300 | ||||||||
COMPLETE THE TABLE (Need to calculate allocation rate) | ||||||||||||
Overhead Allocation Rates | ||||||||||||
Cost Pool | Cost Driver | Total utilization | Allocation Rate | |||||||||
Financial Services | $1,000,000 | Patient Services Revenue | $ 22,500,000 | |||||||||
Facilities | $2,600,000 | Square Footage | 260,000 | |||||||||
Housekeeping | $1,200,000 | Labor Hours | 79,200 | |||||||||
Administration | $3,000,000 | Salary Dollars | $ 5,806,300 | |||||||||
Personnel
| $1,600,000 | Salary Dollars | $ 5,806,300 |
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Rating:
5/
Solution: Finance Week 3 Problem Solution