Optimal Health is an outpatient surgical clinic. The clinic's three activities, their overhead cost, and their cost drivers follow.

$\backslash$table$[[,,,\backslash$table$[[$Budgeted Activity$],[$Usage$]]],[$Activity$,$Budgeted Cost,Activity Cost Driver,$12,000],[$Supplies$,$$$1,992,000,$Surgical hours $($SH$),500],[$Patient services,$35,000,$Number of patients,$3,600]]$

The two main surgical units and their actual activity usage follow.

Actual Activity Usage

$\backslash$table$[[,$Actual Activity Usage,$],[$Service$,$Surgical,,$],[$General surgery,Hours,Patients,Square Feet$],[$Orthopedic surgery,$4,100,300,880],[,7,900,200,2,720]]$

Required:

Compute activity rates using activity$-$based costing.

Allocate overhead cost to the general surgery and to the orthopedic surgery units. Compute overhead cost per patient for each surgery unit.

$\backslash$table$[[\backslash$table$[[1.$ Compute activity rates using activity$-$based costing.$],[$Activity$],[$Budgeted Cost$]]],[$Supplies$],[$Patient services$],[$Building cost$],[\backslash$table$[[2.$ Allocate overhead cost to the general surgery and to the orthopedic surgery units. Compute overhead cost per patient for each surger$],[$unit$.]]],[$General surgery,.$---$Activity Usage$-----,-.--$Activity rate$-----,$Allocated Cost$],[$Supplies$],[$Patient services$],[$Building cost$],[$Overhead cost per patient,$],[$Orthopedic Surgery,..$-.-$Activity Usage$--.-.,-.--$Activity rate$-----,$Allocated Cost$],[$Supplies$],[$Patient services$],[$Building cost$,7,,1,],[,,,,],[,,,,],[,,,,]]$