In: Accounting
Apply the Concepts
A pediatric ward in a metropolitan hospital has the following information:
Resources | Cost of Resources | Activities | Nursing hours | |||||
Supervision | $80,000 | Supervising nurses | 2,000 | |||||
Supplies and uniforms | 40,000 | Treating patients | 5,000 | |||||
Salaries | 500,000 | Providing hygienic care | 4,000 | |||||
Computer | 15,000 | Responding to requests | 6,000 | |||||
Monitor | 30,000 | Monitoring patients | 3,000 | |||||
Total | $665,000 | 20,000 |
Required:
1. | Fill in the following table that represents the work distribution matrix for the pediatric ward (if an amount is zero, enter "0"): | |||||||||||||||||||||
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2. | Select all resources where driver tracing is used to assign costs to activities: | |||||||||||||||||||||
3. | Calculate the cost of each activity: | |||||||||||||||||||||
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4. | Select all the activities that are secondary activities: | |||||||||||||||||||||
5. | Calculate the final cost of each activity below, assuming the cost of secondary activities is assigned to primary activities in proportion to the labor content of primary activities (if an amount is zero, enter "0"; round to the nearest dollar): | |||||||||||||||||||||
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1 | Fill in the following table that represents the work distribution matrix for the pediatric ward (if an amount is zero, enter "0"): | |||||
Percentage of Time on Each Activity | ||||||
Activity | Supervisor | Nurses | ||||
Supervising nurses | 100% | 0% | ||||
Treating patient | % | 25.00% | ||||
Providing hygienic care | % | 20.00% | ||||
Responding to requests | % | 30.00% | ||||
Monitoring patients | % | 15.00% | ||||
2 | Select all resources where driver tracing is used to assign costs to activities: | |||||
Activity | Monitor | Computer | Nursing Resources | |||
Supervising nurses | ||||||
Treating patient | ||||||
Providing hygienic care | ||||||
Responding to requests | ||||||
Monitoring patients | ||||||
3 | Calculate the cost of each activity: | |||||
Activities | Monitor | Computer | Nursing Resources | Total Cost | ||
Supervising nurses | 9000 | 84000 | 93000 | |||
Treating patients | 135000 | 135000 | ||||
Providing hygienic care | 108000 | 108000 | ||||
Responding to requests | 162000 | 162000 | ||||
Monitoring patients | 30,000 | 6000 | 81000 | 87000 | ||
4 | Select all the activities that are secondary activities: | |||||
Supervising is a secondary Activities and its costs are consumed by primary activities | ||||||
5 | Calculate the final cost of each activity below, assuming the cost of secondary activities is assigned to primary activities in proportion to the labor content of primary activities (if an amount is zero, enter "0"; round to the nearest dollar): | |||||
Activities | Final cost | |||||
Supervising nurses | 0 | |||||
Treating patients | 135000 | |||||
Providing hygienic care | 108000 | |||||
Responding to requests | 162000 | |||||
Monitoring patients | 87000 |