Problem $1$

AdventHealth Burleson Hospital Pharmacy fills three types of prescriptions. Prescription A requires

refrigeration to maintain the drug's efficacy. Prescription $B$ has potentially fatal interactions with other

drugs and therefore requires careful review by a pharmacist. Prescription $C$ is a basic, common drug

that presents little risk to the patient. Prescription A is a brand$-$name drug still on patent, and therefore,

the charge for the drug is high relative to its cost. Consider the following data for the hospital pharmacy:

a$.$ Using the cost$-$to$-$charges ratio $($CCR$)$ method, determine the overhead that would be allocated to

each type of prescription, A$,$ B$,$ and C$.$ Hint: Complete the following table:

b$.$ Determine the total cost $($direct cost $+$ indirect cost$)$ of filling one of each type of prescription if

overhead is allocated using CCR$.$ Hing: Complete the following table: