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: Activity Activity Rate Room and meals $192 per day Radiology $271 per image Pharmacy $56 per physician order Chemistry lab $107 per test Operating room $920 per operating room hour The activity usage information associated with the two patients is as follows: Abel Putin Cheryl Umit Number of days 3 days 8 days Number of images 3 images 8 images Number of physician orders 3 orders 5 orders Number of tests 5 tests 8 tests Number of operating room hours 4 hours 6.5 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? is more apparently had a different condition that required more extensive treatment. Thus, the activity cost to than the activity cost of the other patient