# The Housekeeping Department of Micanopy Hospital has direct costs of \$500,000. The hospital’s four patient…

September 28, 2018

1. The Housekeeping Department of Micanopy Hospital has direct costs of \$500,000. The hospital’s four patient service departments utilize the following amounts of space: Department A 1,000 square feet; Department B 2,000; Department C 3,000; Department D 4,000. Assuming that the cost driver for housekeeping costs is the amount of occupied space, what is the allocation of housekeeping costs to Department A?a) \$ 75,000 b)\$ 150,000 c)\$ 100,000 d)\$ 50,000 e)\$ 25,0002. You work in a clinic with fixed costs of \$300,000 and a variable cost per visit of \$15. You are projecting 6,000 visits this year. What are your expected total costs?a)\$390,000 b)\$90,000 c)\$210,000 d)\$4,500,0003. Assume the following cost and revenue data for General Hospital:Fixed costs = \$15,000,000.Variable cost per inpatient day = \$250.Revenue per inpatient day = \$1,000.What is the expected profit at a volume of 25,000 inpatient days?4. Assume the following cost and revenue data for General Hospital:Fixed costs = \$15,000,000.Variable cost per inpatient day = \$250.What revenue per inpatient day is required to obtain a profit of \$1,000,000 at a volume of 25,000 patient days?5.Consider the following data:Fixed costs = \$10,000,000.Variable cost per inpatient day = \$400.What revenue per inpatient day is required to obtain a profit of \$1,000,000 at a volume of 10,000 patient days?

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