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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

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 $218 per day
Radiology $196 per image
Pharmacy $52 per physician order
Chemistry lab $73 per test
Operating room

$971 per operating room hour

The activity usage information associated with the two patients is as follows:

Patient Putin Patient Umit
Number of days 7 days 4 days
Number of images 3 images 3 images
Number of physician orders 6 orders 1 orders
Number of tests 6 tests 3 tests
Number of operating room hours 7 hours

4 hours

Complete the Activity Table:
A. Determine the activity rate for each activity. Enter these rates in the Activity Rate columns.*
B. Use the activity rates in (A) to determine the total and per-unit activity costs associated with each product.*
*If required, round all per unit amounts to the nearest cent.
Patient Putin
Activity Activity-
Base Activity Activity
Usage X Rate = Cost
Room and meals
Radiology
Pharmacy
Chemistry lab
Operating room
Total activity cost

Required:
Complete the Activity Table:
A. Determine the activity rate for each activity. Enter these rates in the Activity Rate columns.*
B. Use the activity rates in (A) to determine the total and per-unit activity costs associated with each product.*
*If required, round all per unit amounts to the nearest cent.
Patient Umit
Activity Activity-
Base Activity Activity
Usage X Rate = Cost
Room and meals
Radiology
Pharmacy
Chemistry lab
Operating room
Total activity cost

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