Romain Surgical Hospital uses the direct method to allocate service department costs to operating departments. The hospital has two service departments, Information Technology and Administration, and two operating departments, Surgery and Recovery. Service Department Operating Department Information Technology Administration Recovery $ 714,110 Surgery $ 34,850 $ 35,907 $ 516,070 Departmental costs Computer workstations Employees 38 30 69 54 34 20 80 40 Information Technology Department costs are allocated on the basis of computer workstations and Administration Department costs are allocated on the basis of employees. The total Surgery Department cost after service department allocations is closest to:
Romain Surgical Hospital uses the direct method to allocate service department costs to operating departments. The hospital has two service departments, Information Technology and Administration, and two operating departments, Surgery and Recovery. Service Department Operating Department Information Technology Administration Recovery $ 714,110 Surgery $ 34,850 $ 35,907 $ 516,070 Departmental costs Computer workstations Employees 38 30 69 54 34 20 80 40 Information Technology Department costs are allocated on the basis of computer workstations and Administration Department costs are allocated on the basis of employees. The total Surgery Department cost after service department allocations is closest to:
Chapter1: Financial Statements And Business Decisions
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The total Surgery Department cost after service department allocations is closest to:
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$550,920
$551,977
$558,153
$559,558
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Romain Surgical Hospital uses the direct method to allocate service department costs to operating departments. The hospital has two service departments,
Information Technology and Administration, and two operating departments, Surgery and Recovery.
Service Department
Operating Department
Information
Technology
$ 34,850
Administration
Recovery
Surgery
$ 516,070
Departmental costs
$ 35,907
$ 714,110
Computer workstations
Employees
38
30
69
54
34
20
80
40
Information Technology Department costs are allocated on the basis of computer workstations and Administration Department costs are allocated on the basis of
employees.
The total Surgery Department cost after service department allocations is closest to:
Multiple Choice
$550,920
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