Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Pls show your work in excel. The All Souls Hospital has three service departments (Nursing Support, Maintenance and Administration) and two operating departments (Inpatient and
Pls show your work in excel. The All Souls Hospital has three service departments (Nursing Support, Maintenance and Administration) and two operating departments (Inpatient and Outpatient.) Selected data from a recent period on the five departments follows. Service Departments Operating Departments Nursing Support $140,000 60 15,000 Maintenance Administration Inpatient Outpatient Total Direct Costs Number of Employees Square Feet of Space $105,000 $48,000 35 10,000 $275,000 $430,000 $998,000 315 40,000 100,000 185,000 140 210 760 20,000 Occupied Patient Hours 30,000 60,000 90,000 Hospital Administrators use the following for cost allocation: Allocates Nursing Support based upon Number of Employees Allocates Maintenance based upon Square Feet of Space Occupied . Allocates Administration based upon Patient Hours Complete the following 1. Use the step method to allocate the service department costs to the operating departments based upon the information above and determine the new costs for Inpatient and Outpatient. Use the following order: Nursing Support, Maintenance, Administration. 2. Use the direct method to allocate the service department costs to the operating departments
Pls show your work in excel.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started