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Calamba Hospital operates a general hospital but rents space and beds to separate entities for specialized treatment such as pediatrics, maternity, psychiatric, etc.Calamba charges each

Calamba Hospital operates a general hospital but rents space and beds to separate entities for specialized treatment such as pediatrics, maternity, psychiatric, etc.Calamba charges each separate entity for common services to its patients like meals and laundry and for all administrative services such as billings, collections, etc.All uncollectible accounts are charged directly to the entity.Space and bed rentals are fixed for the year.

For the entire year ended June 30, the Pediatrics Department at Calamba Hospital charged each patient an average of P65 per day, had a capacity of 60 beds, operated 24 hours per day for 365 days, and had revenue of P1,138,800.

Expenses charged by the hospital to the Pediatrics Department for the year ended June 30 were:

Basis of Allocation

Patient Days

Bed Capacity

Dietary

P42,952

Janitorial

P12,800

Laundry

28,000

Lab, other than direct charges to patients

47,800

Pharmacy

33,800

Repairs and maintenance

5,200

7,140

General administrative services

131,760

Rent

275,320

Billings and collections

40,000

Bad debt expense

47,000

Other

18,048

.

P262,800

P453,000

The only personnel directly employed by the Pediatrics Department are supervising nurses, nurses, and aides.The hospital has minimum personnel requirements based on total annual patient days.Hospital requirements beginning at the minimum, expected level of operation follow:

Annual Patient Days

Aides

Nurses

Supervising Nurses

10,00014,000

21

11

4

14,00117,000

22

12

4

17,00123,725

22

13

4

23,72625,550

25

14

5

25,55127,375

26

14

5

27,37629,200

29

16

6

The staffing levels above represent full-time equivalents, and it should be assumed that the Pediatrics Department always employs only the minimum number of required full-time equivalent personnel.

Annual salaries for each class of employee follow:supervising nurses, P18,000; nurses, P13,000; and aides, P5,000.Salary expense for the year ended June 30 for supervising nurses, nurses, and aides was P72,000, P169,000, and P110,000, respectively.

The Pediatrics Department operated at 100% capacity during 111 days of the past year.It is estimated that during 90 of these capacity days, the demand average 17 patients more than capacity and even went as high as 20 patients more on some days.The hospital has an additional 20 beds available for rent for the coming fiscal year.

31. The number of patient days needed to cover total costs is

A. 14,200 C. 15,820

B. 15,200 D. 14,220

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