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Good Evening, I am needing assistance with the following questions. Please advise. 1. a. Campbell Health Care Center Incorporated has three clinics servicing the Seattle
Good Evening,
I am needing assistance with the following questions. Please advise.
1. a.
Campbell Health Care Center Incorporated has three clinics servicing the Seattle metropolitan area. The company's legal services department supports the clinics. Moreover. its computer services department supports all of the clinics and the legal services department. The annual cost ofoperating the legal services department is $308,450. The annual cost of operating the computer services department is $344000. The company uses the number of patients served as the cost driver for allocating the cost of legal services and the number ofcomputer workstations as the cost drivertor allocating the cost of computer services. Other relevant information follows. Number of Number of Patients L-lorlcstations Sewell clinic 7,688 22 Alphretta clinic 4,988 9 Gwinnett clinic 7,288 5 Legal services 3" Computer services 13 Required a. Allocate the cost of computer services to all ofthe clinics and the legal services department. b. After allocating the cost of computer services, allocate the cost of legal services to the three clinics. 1:. Compute the total allocated cost of service centers for each clinic. Complete this question by entering your answers in the tabs below. Required .0. Required B Required C Allocate the cost of computer services to all of the clinics and the legal services department. Sewell clinic Alphretta clinic Gwinnett clinic Legal services Total allocated cost. Campbell Health Care Center Incorporated has three clinics servicing the Seattle metropolitan area. The company's legal services department supports the clinics. Moreover, its computer services department supports all of the clinics and the legal services department. The annual cost of operating the legal services department is $308,450. The annual cost of operating the computer services department is $344000. The com panv uses the number of patients served as the cost driver for allocating the cost of legal services and the number of computer workstations as the cost driver for allocating the cost of computer services. Other relevant information follows. Number of Number of Patients workstations Sewell clinic LESS 22 Alphretta clinic 4,999 9 winnett clinic ?,2E)E) 5 Legal services I" Computer services 13 Required 3. Allocate the cost of computer services to all ofthe clinics and the legal services department. b. After allocating the cost of computer services, allocate the cost of legal services to the three clinics. 1:. Compute the total allocated cost of service centers for each clinic. Complete this question by entering your answers in the tabs below. Required A Required B Required C After allocating the cost of computer services, allocate the cost of legal services to the three clinics. Note: Do not round intermediate calculations. Sewell clinic Alphretta clinic Gwinn ett clinic Total allocated cost Campbell Health Care Center Incorporated has three clinics servicing the Seattle metropolitan area. The company's legal services department supports the clinics. Moreover. its computer services department supports all otthe clinics and the legal services department. The annual cost of operating the legal services department is $308,450. The annual cost of operating the computer services department is $344000. The company uses the number of patients served as the cost driver for allocating the cost of legal services and the number of computer workstations as the cost driver for allocating the cost of computer services. Other relevant information follows. Number of Number of Patients Workstations SEN-Ell clinic $5689 22 Alphretta clinic 4,989 9 winnett clinic L299 5 Legal services I" Computer services 13 Required a. Allocate the cost of computer services to all ofthe clinics and the legal services department. b. After allocating the cost of computer services, allocate the cost of legal services to the three clinics. 1:. Compute the total allocated cost of service centers for each clinic. Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the total allocated cost of service centers for each clinic. Note: Do not round intermediate calculations. Sewell clinic Alphretta clinic Gwinn ett clinic Total allocated cost Zachary Trust Corporation has two service departments: actuary and economic analysis. Zachary also has three operating departments: annuity, fund management, and employee benefit services. The annual costs of operating the service departments are $668,200 for actuary and $1,002,300 for economic analysis. Zachary uses the direct method to allocate service center costs to operating departments. Other relevant data follow. Operating Costs* Revenue Annuity $ 690, 000 $ 681, 000 Fund management 1, 090, 000 1, 380, 000 Employee benefit services 790, 000 1, 280, 000 *The operating costs are measured before allocating service center costs. Required a. Use operating costs as the cost driver for allocating service center costs to operating departments. b. Use revenue as the cost driver for allocating service center costs to operating departments. Complete this question by entering your answers in the tabs below. Required A Required B Use operating costs as the cost driver for allocating service center costs to operating departments. Note: Round "Allocation Rate" to 2 decimal places. Allocation of actuary cost: Department Allocation Rate x Weight of Base = Allocated Cost Annuity x X Fund management EBS Total allocated cost Allocation of economic analysis cost: Department Allocation Rate x Weight of Base = Allocated Cost Annuity X X Fund management Total allocated costZachary Trust Corporation has two service departments: actuary and economic analysis. Zachary also has three operating departments: annuity, fund management, and employee benefit services. The annual costs of operating the service departments are $668,200 for actuary and $1,002,300 for economic analysis. Zachary uses the direct method to allocate service center costs to operating departments. Other relevant data follow. Operating Costs\" Revenue Annuity $ 596,933 5 581,099 Fund management 1,090,000 1,380,000 Employee benefit services ?90,0-00 1,280,000 *The operating costs are measured before allocating service center costs. Required a. Use operating costs as the cost driver for allocating service center costs to operating departments. In. Use revenue as the cost driver for allocating service center costs to operating departments. Complete this question by entering your answers in the labs below. Required A Required B Use revenue as the cost driver for allocating service center costs to operating departments. Note: Round "Allocation Rate" to 2 decimal places. Fund management Total allocated costStep by Step Solution
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