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Healthy Solutions, Inc., is considering a time-driven activity based costing system. The following data is given: Resources Activities Time per activity Supervision $ 93,000 Treating
Healthy Solutions, Inc., is considering a time-driven activity based costing system. The following data is given:
Resources | Activities | Time per activity | ||
Supervision | $ 93,000 | Treating patients | 1.50 hr | |
Supplies and uniforms | 125,000 | Providing hygienic care | 2.00 hr | |
Salaries | 542,500 | Responding to requests | 1.10 hr | |
Computer | 15,000 | Monitoring patients | 1.35 hr | |
Monitor | 35,750 | |||
Total | $811,250 | |||
Total nursing hours (practical capacity) | 25,250 |
What is the capacity cost rate? (Round the answer to two decimal places.)
a. | $3.60 per hour | |
b. | $32.13 per hour | |
c. | $22.5 per hour | |
d. | $94.5 per hour |
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