Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. activity-based costing for a hospital deer lodge r

Activity-Based Costing for a hospital Deer Lodge Regional Hospital plans to use activity-based costing to...

60.1K

Verified Solution

Question

Accounting

Activity-Based Costing for a hospital

Deer Lodge Regional Hospital plans to use activity-based costing to assign hospital indirect costs to the care of patients. The hospital has identified the following activities and activity rates for the hospital indirect costs:

Activity Activity Rate
Room and meals $191 per day
Radiology $269 per image
Pharmacy $48 per physician order
Chemistry lab $87 per test
Operating room $820 per operating room hour

The records of two representative patients were analyzed, using the activity rates. The activity information associated with the two patients is as follows:

Patient Franklin Patient Kramer
Number of days 4 days 8 days
Number of images 2 images 7 images
Number of physician orders 4 orders 6 orders
Number of tests 5 tests 8 tests
Number of operating room hours 4.5 hours 7 hours

Determine the activity cost associated with each patient.

Activity Cost
Patient Franklin $
Patient Kramer $

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students