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Activity - based costing for a service company Crosswinds Hospital plans to use activity - based costing to assign hospital indirect costs to the care

Activity-based costing for a service company
Crosswinds Hospital plans to use activity-based costing to assign hospital indirect costs to the care of patients. The hospital has identified the
following activities and activity rates for the hospital indirect costs:
The activity usage information associated with the two patients is as follows:
a. Determine the activity cost associated with each patient.
Abel Putin $
Cheryl Umit $
b. Why is the total activity cost different for the two patients?
: apparently had a different condition that required more extensive treatment. Thus, the activity cost to
is
more than the activity cost of the other patient.
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