Question
15. Akey Hospital bases its budgets on patient-visits. The hospital's static budget for March appears below: Budgeted number of patient visits 2,700 Budged variable overhead
15. Akey Hospital bases its budgets on patient-visits. The hospital's static budget for March appears below:
Budgeted number of patient visits 2,700
Budged variable overhead costs
Supplies @3.90 per patient visit) 10,530
Laundry @9.70 per patient visit) 26,190
Total variable overhead costs 36,720
Budgeted fixed overhead costs
wages and salaries 15,660
Occupancy costs 35,640
Total fixed overhead cost 51.300
Total budgeted overhead cost 88.020
What should be the total overhead cost at an activity level of 3,000 patient-visits per month?
A. $88,020
B. $92,100
C. $92,640
D. $97,800
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started