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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:
\table[[Activity,Activity Rate],[Room and meals,$171 per day],[Radiology,$241 per image],[Pharmacy,$53 per physician order],[Chemistry lab,$99 per test],[Operating room,$700 per operating room hour]]
The activity usage information associated with the two patients is as follows:
\table[[,Abel Putin,Cheryl Umit],[Number of days,3 days,10 days],[Number of images,2 images,7 images],[Number of physician orders,3 orders,5 orders],[Number of tests,3 tests,6 tests],[Number of operating room hours,4 hours,6 hours]]
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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