Assignment week 4 - Copy

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Keiser University *

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FIN3373

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Accounting

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Apr 3, 2024

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docx

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4

Uploaded by ChancellorWillpowerMoose26

1 Assignment week 4 Financial Healthcare November 19, 2023
2 Chapter 6: Problem 6.1 a) What is the value of the cost pool? The cost pool is: $100 000.00 b) The allocation rate using the patient service revenue as the cost driver: Allocation rate = 100000/5000000 => Allocation rate = $0.02 per patient service The allocation rate using hours of housekeeping services as the cost driver: Allocation rate = 100000/5000 => Allocation rate = $20.00 Per housekeeping hour. Chapter 6: Problem 6.7 a) The appropriate allocation rates are: General administration allocation rate= General administration cost/Patient service revenue => General administration allocation rate = 4000000/63000000 => General administration allocation rate = $0.0635 per dollar of patient revenue. Maintenance expense allocation rate = Maintenance expense cost/space utilization => Maintenance expense allocation rate = 5000000/805000 => Maintenance expense allocation rate= $6.2111 Per Square feet Employee benefits administration allocation rate = employee benefits cost/number of full time – time employees => Employee benefits administration allocation rate= 4000000/1590 => Employee benefits administration allocation rate= $2515.72 Per full-time employee
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