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Author Question: The fixed costs of operating the maintenance facility of General Hospital are $4,500,000 annually. ... (Read 53 times)

shofmannx20

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on: Mar 6, 2021
The fixed costs of operating the maintenance facility of General Hospital are $4,500,000 annually. Variable costs are incurred at the rate of $30 per maintenance-hour. The facility averages 40,000 maintenance-hours a year. Budgeted and actual hours per user for 2017 are as follows: 

Budgeted hoursActual hours
Building and grounds10,00012,000
Operating and emergency8,0008,000
Patient care21,00022,000
Administration1,0001,200
Total40,00043,200

Assume that budgeted maintenance-hours are used to calculate the allocation rates. 

Required:
a.  If a single-rate cost-allocation method is used, what amount of maintenance cost will be budgeted for each department?
b.  If a single-rate cost-allocation method is used, what amount of maintenance cost will be allocated to each department based on actual usage?
c  .If a dual-rate cost-allocation method is used, what amount of maintenance cost will be budgeted for each department?
d.  If a dual-rate cost-allocation method is used, what amount of maintenance cost will be allocated to each department based on actual usage? Based on budgeted usage for fixed operating costs and actual usage for variable operating costs?
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by shofmannx20 on Mar 6, 2021

JCABRERA33

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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shofmannx20

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)

TheDev123

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Reply 3 on: Yesterday
Excellent

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