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Sharifi Hospital bases its budgets on patient-visits. The hospital's static budget for October appears below: Budgeted number of patient-visits 9,500 Budgeted variable overhead costs: Supplies
Sharifi Hospital bases its budgets on patient-visits. The hospital's static budget for October appears below:
Budgeted number of patient-visits | 9,500 | |
Budgeted variable overhead costs: | ||
Supplies (@$5.20 per patient-visit) | $ | 49,400 |
Laundry (@$8.20 per patient-visit) | 77,900 | |
Total variable overhead cost | 127,300 | |
Budgeted fixed overhead costs: | ||
Wages and salaries | 52,900 | |
Occupancy costs | 85,800 | |
Total fixed overhead cost | 138,700 | |
Total budgeted overhead cost | $ | 266,000 |
The total overhead cost at an activity level of 10,200 patient-visits per month should be:
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