The administrators of San Diego Countys Memorial Hospital are interested in identifying the various costs and expenses

Question:

The administrators of San Diego County’s Memorial Hospital are interested in identifying the various costs and expenses that are incurred in producing a patient’s X-ray. A list of such costs and expenses in presented below.

1. Salaries for the X-ray machine technicians.

2. Wages for the hospital janitorial personnel.

3. Film costs for the X-ray machines.

4. Property taxes on the hospital building.

5. Salary of the X-ray technicians’ supervisor.

6. Electricity costs for the X-ray department.

7. Maintenance and repairs on the X-ray machines.

8. X-ray department supplies.

9. Depreciation on the X-ray department equipment.

10. Depreciation on the hospital building.

The administrators want these costs and expenses classified as: (a) direct materials, (b) direct labor, or (c) service overhead.


Instructions

List the items (1) through (10). For each item, indicate the cost category to which the item belongs.


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