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5. Consider the following cost table for a hospital Overhead costs Cost Allocation basis Housekeeping $ 100,000 square ft Final cost centers Patients treated Square

5. Consider the following cost table for a hospital

Overhead costs

Cost Allocation basis

Housekeeping$100,000square ft

Final cost centersPatients treatedSquare ft

Outpatient$1 million1,0005,000

Inpatient$10 million5,00020,000

a. Calculate average cost per patient treated in each cost center, ignoring overhead costs

b. Calculate average cost per patient treated in each cost center, including overhead costs

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5. Consider the following cost table for a hospital Overhead costs \begin{tabular}{cc} & \multicolumn{2}{c}{ Cost } & Allocation basis \\ Housekeeping & $100,000 square ft \end{tabular} Final cost centers Patients treated Square ft Outpatient1,000$1million5,000 Inpatient5,000$10million20,000 a. Calculate average cost per patient treated in each cost center, ignoring overhead costs b. Calculate average cost per patient treated in each cost center, including overhead costs

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