Harold Gyllstrom is a professor of psychiatry at the Medical College of Whiting, which is part of
Question:
Harold Gyllstrom is a professor of psychiatry at the Medical College of Whiting, which is part of the state university system. Gyllstrom is preparing a National Science Foundation grant application to do brain research. The application requires him to submit a proposed budget that discloses the full cost of the project, and it states that the full cost cannot exceed a certain amount. So far, Gyllstrom has listed the direct costs of the research: laboratory supplies, scanner time, and pay for research workers and subjects. He is now considering what support costs to include in the budget. Specifically, which overhead rates should he include—the rates of the department, the rates of the university, and/or the rates for research that the university has negotiated? He is approaching the grant’s spending limits. What would you advise?
Step by Step Answer:
Managerial Accounting
ISBN: 978-0618777181
8th Edition
Authors: Susan V. Crosson, Belverd E. Needles