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Shartfi Hospital bases its budgets on patient visits. The hospital\'s static bud

ID: 2514484 • Letter: S

Question

Shartfi Hospital bases its budgets on patient visits. The hospital's static budget for October appears below Budgeted number of patient-visits Budgeted variable overhead costs: 7,000 Laundry (@$8.30 per patient-visit) Total variable overhead cost Budgeted fixed overhead costs Supplies (e$5.3e per patient-visit) 37,100 58,100 95,200 53,150 85,950 139,100 $234, 300 Wages and salaries Occupancy costs Total fixed overhead cost Total budgeted overhead cost The total overhead cost at an activity level of 7.700 patient-visits per month should be Multiple Choice 442 PM Prev 1of 10-11: Next > A/8/2018 23

Explanation / Answer

Calculate total overhead cost at activity level 7700 patients visit :

Total overhead cost on 7700 patients visit is $243820

Patients visit 7700 Supplies 40810 Laundry 63910 Total variable overhead cost 104720 Wages and salaries 53150 Occupancy cost 85950 Total fixed cost 139100 Total overhead cost 243820