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McCullough Hospital uses a job-order costing system to assign costs to its patients. Its direct materials include a variety of items such as pharmaceutical drugs, heart valves, artificial hips, and pacemakers. Its direct labor costs (e.g., surgeons, anesthesiologists radiologists, and nurses) associated with specific surgical procedures and tests are traced to individual patients. All other costs, such as depreciation of medical equipment, insurance, utilities, incidental medical supplies, and the labor costs associated with around-the- clock monitoring of patients are treated as overhead costs. Historically. McCullough has used one predetermined overhead rate based on the number of patient-days (each night that a patient spends in the hospital counts as one patient-day) to allocate overhead costs to patients. For the most recent period, this predetermined rate was based on three estimates-fixed overhead costs of $17,800,000, variable overhead costs of $110 per patient- day, and a denominator volume of 20,000 patient-days. Recently a member of the hospital's accounting staff has suggested using two predetermined overhead rates (allocated based on the number of patient-days) to improve the accuracy of the costs allocated to patients. The first overhead rate would include all overhead costs within the Intensive Care Unit (ICU) and the second overhead rate would include all Other overhead costs. Information pertaining to these two cost pools and two of the hospital's patients-Patient A and Patient B-is provided below: ICU Other Total Estimated number of patient-days 2, 990 18,989 20, 909 Estimated fixed overhead cost $ 3, 260, 090 $ 14,548, 909 $ 17, 890, 090 Estimated variable overhead cost per patient-day $ 236 $ 96 Patient A Patient B Direct materials $ 6,090 $ 7,709 Direct labor $ 28,750 $ 39, 089 Total number of patient-days (including ICU) 14 21 Number of patient-days spent in ICU Required: 1. Assuming McCullough continues to use only one predetermined overhead rate, calculate: a. The predetermined overhead rate. b. The total cost, including direct materials, direct labor, and applied overhead, assigned to Patient A and Patient B. 2. Assuming McCullough calculates two overhead rates as recommended by the staff accountant, calculate: a. The ICU and Other overhead rates. b. The total cost, including direct materials, direct labor, and applied overhead, assigned to Patient A and Patient B. Note: Round "Predetermined overhead rate" to 2 decimal places. Round other Intermediate calculations and final answers to the nearest dollar amount. 1a. Predetermined overhead rate per patient-day 1b. Total cost for patient A 1b. Total cost for patient B 28. Predetermined ICU overhead rate per patient-day 28. Predetermined Other overhead rate per patient-day 2b. Total cost for patient A 2b. Total cost for patient BTechuxia Corporation worked on fourjobs during October: Job A256, Job A257, .Job A258, and Job A260. At the end of October, the job cost sheets for these jobs contained the following data: Job A256 Ilob A25? Job A256 Job A266 1 Beginning balance $ J766 $ 756 $ 6 $ 6 Changed to the jobs during October": Direct materials $ L166 $ 4,666 $ 1,966 $ 4,666 Direct labor $ Less $ 1,566 $ 856 $ 656 Manufacturing overhead applied 3; 1366 $ 2,666 $ 1,156 $ 1,166 Units completed 166 6 456 6 Units sold during October 66 6 96 6 Jobs A256 and A258 were completed during October The other two jobs were incomplete at the end of October There was no finished goods inventory on October 1. The company's total manufacturing overhead applied equals its total actual manufacturing overhead. Required: 1. What is the cost of goods sold for October? Note: Round intermediate calculations to 2 decimal places and final answer to nearest dollar amount. 2. What is the total value ofthe finished goods inventory at the end of October? Note: Round intermediate calculations to 2 decimal places and final answer to nearest dollar amount. 3. What is the total value ofthe work in process inventory at the end of October? 1. Cost of goods sold for October 2. Finished goods inventor}.r at the end of October 3. Work in process inventory at the end of October

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