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Tar Heel Home Healthcare Inc. wants to develop a product cost for the following activities using labor expense and supply expense to assign direct costs

Tar Heel Home Healthcare Inc. wants to develop a product cost for the following activities using labor expense and supply expense to assign direct costs and visit minutes as a cost driver to assign indirect costs. Projected total costs are $950,000( $550,000 direct and 400,000 indirect). Assign costs to each activity using the following information. Also, calculate the charge based on 15% profit margin.
Activities Projected Labor Supply Visit
Volume Expense($) Expense ($) Minutes
1.Nursing Care 4,250852545
2.Nutritionist 2,500502530
3. Physical Therapy 3,750751560

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