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Capelli Hospital bases its budgets on patient-visits. The hospital's static budget for August appears below: Budgeted number of patient-visits 8,700 Budgeted variable costs: Supplies (@$9.80
Capelli Hospital bases its budgets on patient-visits. The hospital's static budget for August appears below:
Budgeted number of patient-visits | 8,700 | |
Budgeted variable costs: | ||
Supplies (@$9.80 per patient-visit) | $ | 85,260 |
Laundry (@$9.50 per patient-visit) | 82,650 | |
Total variable cost | 167,910 | |
Budgeted fixed costs: | ||
Wages and salaries | 99,820 | |
Occupancy costs | 107,820 | |
Total fixed cost | 207,640 | |
Total cost | $ | 375,550 |
The total variable cost at the activity level of 8,800 patient-visits per month should be:
Multiple Choice
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$207,640
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$167,910
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$169,840
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$209,970
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