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please solve for part b2. parts a and b1 have been provided along with the givens. Calculate the profit per procedure for each of the

please solve for part b2. parts a and b1 have been provided along with the givens. image text in transcribed
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Calculate the profit per procedure for each of the three procedures using the proposed activity-based dosting system. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 2 decimal places, e.g. 5.250 .75 \). ) Sheridan Orthopedics specializes in hip, knee, and shoulder replacement surgery. In addition to the actual surgery, the company provides its patients with preoperative and postoperative inpatient care in a fully equipped hospital. Sheridan pays its surgeons a fixed fec for each surgical procedure they perform. The company provides doctors and patients a variety of support services during treatment and allocates the cost of these activities through the company's costing system, which uses a single owerhead rate. Currently, the company uses an aliocation rate of 48% of the surgical fee charged to the patient. Managers have expressed concern that the current system is producing inaccurate costs and profitability for the joint replacement procedures. As a result, Bree Sheridan, the company's controller, initiated a study to explore the potential for implementing an activity-based costing system. She has collected the following data on each of the procedures. After analyzing the company's support activities, Bree determined that five activity cost pools would be sufficient for the company. The proposed activity cost poots, along with the proposed cost drivers, are presented below. (a) Calculate the profit per procedure for each of the three procedures using the current basis for allocating overhe at. (Enter negative amounts using either a negative sign preceding the number e.s. -45 or parentheses es. (45) J) Allocate costs to each procedure type using the proposed activity-based costing system. (For activity rates and overhead cost per procedure, round answers to 2 decimal places, es. 15.25. Round all ather answers to 0 decimal places, es. 5,250

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