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Crosswinds Hospital plans to use activity - based costing to assign hospital indirect costs to the care of patients. The hospi activities and activity rates
Crosswinds Hospital plans to use activitybased costing to assign hospital indirect costs to the care of patients. The hospi activities and activity rates for the hospital indirect costs:
Activity
Activity Rate
Room and meals $ per day
Radiology $ per image
Pharmacy $ per physician order
Chemistry lab $ per test
Operating room $ per operating room hour
The activity usage information associated with the two patients is as follows:
tableAbel Putin,Cheryl UmitNumber of days, days, daysNumber of images, images, imagesNumber of physician orders, orders, ordersNumber of tests, tests, testsNumber of operating room hours, hours, 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?
more Check My Work uses remaining.
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