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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 9,100 Budgeted variable costs: Supplies (@$9.20

Capelli Hospital bases its budgets on patient-visits. The hospital's static budget for August appears below:

Budgeted number of patient-visits 9,100
Budgeted variable costs:
Supplies (@$9.20 per patient-visit) $ 83,720
Laundry (@$8.90 per patient-visit) 80,990
Total variable cost 164,710
Budgeted fixed costs:
Wages and salaries 99,710
Occupancy costs 107,710
Total fixed cost 207,420
Total cost $ 372,130

The total variable cost at the activity level of 9,200 patient-visits per month should be:

Multiple Choice

  • $164,710

  • $209,750

  • $207,420

  • $166,520

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