Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Financial Management Service of VA Long Beach had $525,000 in direct costs during 2021 that must be allocated to VA's five revenue-producing patient service

image text in transcribed
The Financial Management Service of VA Long Beach had $525,000 in direct costs during 2021 that must be allocated to VA's five revenue-producing patient service departments using the direct method. Hours of Finance services will be used as a cost driver for allocation. Five patient service departments are Medicine, Primary Care, Spinal Cord Injury, Geriatrics and Extended Care (GEC), and Pharmacy. These five departments used a total of 25,000 hours of finance services. The distribution of financial services hours by service department is as follows: Departments Medicine Primary Care Spinal Care Injury Geriatrics and Extended Care Pharmacy TOTAL Financial Services Hours 6,125 4,250 5.250 4,750 4.625 25,000 2. 5 18 a. What is the allocation rate (2 points)? b. What is the dollar allocation to each patient service department? (8 points) a. b. Departments: Medicine

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Strategic Market Management

Authors: David A. Aaker

5th Edition

0471177431, 9780471177432

More Books

Students also viewed these Accounting questions

Question

Did you cite the sources of the statistics?

Answered: 1 week ago