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Sharkfin Healthcare bases its budgets on patient-visits. The hospital's static budget for October appears below: Budgeted number of patient-visits 8,500 Budgeted variable overhead costs: Supplies
Sharkfin Healthcare bases its budgets on patient-visits. The hospital's static budget for October appears below:
Budgeted number of patient-visits | 8,500 | |
Budgeted variable overhead costs: | ||
Supplies (@$4.70 per patient-visit) | $ | 39,950 |
Laundry (@$7.80 per patient-visit) | 66,300 | |
Total variable overhead cost | 106,250 | |
Budgeted fixed overhead costs: | ||
Wages and salaries | 50,150 | |
Occupancy costs | 84,150 | |
Total fixed overhead cost | 134,300 | |
Total budgeted overhead cost | $ | 240,550 |
The total overhead cost at an activity level of 9,200 patient-visits per month should be:
Group of answer choices
A) $260,360
B) $250,070
C) $249,300
D) $240,550
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