costacctg13_sm_ch05

activitybasedjobcostingunitcostcomparisons

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Unformatted text preview: ne why it takes so long to produce purses relative to backpacks. 5-39 5­36 (40 min.) ABC, health care. 1a. Medical supplies rate = = Rent and clinic maintenance rate = = Admin. cost rate for patient­charts food and laundry Medical supplies costs $300, 000 = Total number of patient ­ years 150 $2,000/patient­year Rent and clinic maint. costs $180,000 = Total amount of square feet of space 30,000 $6 per square foot Admin. costs to manage patient charts, food, laundry $600, 000 = Total number of patient ­ years 150 $4,000/patient­year Laboratory services costs $100,000 = Total number of laboratory tests 2,500 $40 per test = = Laboratory services rate = = These cost drivers are chosen as the ones that best match the descript ions o f why the costs arise. Other answers are acceptable, provided that clear explanat ions are given. 1b. Act ivit y­based costs for each program and cost per patient­year of the alcoho l and drug program fo llow: Alcohol Direct labor Physicians at $150,000 × 0; 4; 0 Psychologists at $75,000 × 6; 4; 8 Nurses at $30,000 × 4; 6; 10 Direct labor costs Medical supplies1 $2,000 × 40; 50; 60 Rent and clinic maintenance2 $6 × 9,000; 9,000; 12,000 Administrative costs to manage 3 p...
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This note was uploaded on 10/11/2010 for the course ACCT 321 taught by Professor Cole during the Spring '10 term at University of Miami.

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