These data summarize the recent operations of Blue River Physical Therapy Services: Center Ws costs are assigned

These data summarize the recent operations of Blue River Physical Therapy Services:

Center W’s costs are assigned on the basis of square feet occupied, and Center X’s costs are assigned on the basis of the number of procedures performed. The number of patient visits is the basis for applying overhead. Assign the costs of Service Center W and then Service Center X using the step method, and determine the total cost of the revenue centers after allocation.

Transcribed Image Text:

Service Service Revenue Revenue Center W Center X CenterY Center 2Z $40,000 $50,000 $80,000 $70,000 Costs incurred Percentage of square feet occupied Number of procedures Patient visits 30 200 10 600 40 1,800 900 20 2,400 ,800