Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The University of Dental Health (UDH) is a state-run university focusing on the education and training of dentists, dental assistants, dental hygienists, and other dental

The University of Dental Health (UDH) is a state-run university focusing on the education and training of dentists, dental assistants, dental hygienists, and other dental professionals. The university provides both traditional undergraduate courses to 7,150 students and continuing professional education (CPE) courses to 3,850 practicing professionals. UDH has just hired a new controller who wants to utilize ABC. The controller has identified three key activities performed by the university and the cost of each of these activities:

  • UDH has 3 buildings with a total of 110,000 square feet of classroom and facility space. Due to the large space requirements for labs and other training facilities, the undergraduate program utilizes 99,000 square feet. Total cost, $1,166,000.
  • UDH offers career placement services for undergraduate students, career counseling for active professionals taking CPE courses, and other student services to both groups. Total cost, $264,000.
  • UDH offers 1,600 different instructional courses each year, 1,120 of which are undergraduate courses. Total cost, $3,040,000.

Required: 1. Compute an activity rate for each of the three activities identified by the controller. 2. Compute cost driver values and activity proportions for each group of students for each activity. 3. Determine the amount of costs assigned to each group of students and the cost per student to UDH to provide these three key activities.

image text in transcribedimage text in transcribedimage text in transcribed
Required 1 Required 2 Required 3 Compute an activity rate for each of the three activities identified by the controller. (Round activity Rates to 2 decimal places.) Activity Activity Cost Driver Cost Total Activity Driver Activity Rate Facilities Square Feet 1,166,000 Services Number of Students 264,000 Instruction Number of Courses $ 3,040,000Required 1 Required 2 Required 3 Compute cost driver values and activity proportions for each group of students for each activity. Activity Activity Cost Driver Cost Undergraduate Activity Proportion CPE Activity Total Proportion Total Proportion Facilities Square Feet $ 1,166,000 Services Number of Students $ 264,000 Instruction Number of Courses $ 3,040,000Determine the amount of costs assigned to each group of students and the east per student to UDH to provide these three key:[ activities. (Do not round your activity rates or activity proportions.) Instruction Number of Courses :0 3,040,000 _ _ \"mm _

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

Step: 3

blur-text-image

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

Managerial Accounting The Cornerstone Of Business Decision Making

Authors: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

8th Edition

0357715349, 978-0357715345

More Books

Students also viewed these Accounting questions

Question

Interest that is calculated using only the principal is called:

Answered: 1 week ago

Question

25.0 m C B A 52.0 m 65.0 m

Answered: 1 week ago

Question

13. Give four examples of psychological Maginot lines.

Answered: 1 week ago