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Finance Week 3 Problem

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solution


Question

Question;Key Information Cost DriversUnit Measure Financial ServicesPatient Services Revenue FacilitiesSquare Footage HousekeepingLabor Hours AdministrationSalary Dollars PersonnelSalary DollarsPatient ServicesSquare FtHousekeepingSalary DollarsRevenueLabor 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$ 1,056,300Total$ 22,500,000 260,000 79,200$ 5,806,300COMPLETE;THE TABLE (Need to calculate allocation rate)Overhead;Allocation RatesCost PoolCost DriverTotal utilizationAllocation Rate Financial Services$1,000,000Patient Services Revenue$ 22,500,000 Facilities$2,600,000Square Footage 260,000 Housekeeping$1,200,000Labor Hours 79,200 Administration$3,000,000Salary Dollars$ 5,806,300 Personnel;Question;18COMPLETE TABLE (All bolded;areas) 3 points$1,600,000Salary Dollars$ 5,806,300

 

Paper#49408 | Written in 18-Jul-2015

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