CengageNOWv2, 1 term Printed Access Card for Warren's Survey of Accounting, 8th
8th Edition
ISBN: 9781305961982
Author: Carl Warren
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 13, Problem 13.5.4MBA
To determine
Concept Introduction:
Standard Costing system allows estimating the costs, preparing budgets for future periods, and analyzing the performance by comparing the budgets with actual results and find variances.
To Indicate:
The Comment on Occupancy Rate for each month
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
The Valley Hospital measures the in-patient occupancy of the hospital by determining the number of patient days divided by the number of available bed days in the hospital for a time period. The following in-patient data are available for the months of April, May, and June:
April
May
June
Admitted patients
1,440
1,860
2,250
Average length of stay per patient
4.0
days
3.5
days
3.0
days
The hospital has 200 rooms. One hundred rooms are private and have a single bed per room.The other hundred rooms are semi-private with two beds per room.
a. Determine the number of in-patient days for each month.
Number of in-patient Days
April
fill in the blank 1
May
fill in the blank 2
June
fill in the blank 3
b. Determine the available bed days for each month.
Available Bed Days
April
fill in the blank 4
May
fill in the blank 5
June
fill in the blank 6
c. Determine the occupancy…
Print Item
Question Content Area
Utilization Rate
Stop-N-Stay and Paradise Inn operate motels across the northwest. Operating data for each chain are as follows:
Hotels Rooms per Hotel Total Rooms
Stop-N-Stay 50 180 9,000
Paradise Inn 60 175 10,500
For August, each chain reported the following:
Room Nights
Occupied Average Daily
Room Rate
Stop-N-Stay 239,940 $125
Paradise Inn 292,950 $ 95
1. Determine the occupancy rate for Stop-N-Stay for August.
fill in the blank 1
%
2. Determine the occupancy rate for Paradise Inn for August.
fill in the blank 2
%
3. Determine the total room revenue for each chain for August.
Stop-N-Stay $fill in the blank 3
Paradise Inn $fill in the blank 4
4. Compare and comment on the operating results for each chain.
a higher occupancy rate.
has a higher average daily room rate.
higher daily room rate offsets the effects of the lower occupancy rate
St.Michael Hospital contains 450 beds.The average occupancy rate is 80% per month.In other words,on average,80% of the hospital's beds are occupied by patients.At this level of occupancy,the hospital's operating costa are P32 per occupied bed per day,assuming a 30-daymonth. This P32 figure contains both varible and fixed cost components.
During the month of june, the hospital's occupancy rate was only 60 percent.A total of 326,700 in operating cost was incurred during that month.
Using High Low Method determine the variable cost per unit and the total fixed cost.
Chapter 13 Solutions
CengageNOWv2, 1 term Printed Access Card for Warren's Survey of Accounting, 8th
Ch. 13 - Static budgets are often used: A.By production...Ch. 13 - The total estimated sales for the coming year is...Ch. 13 - Dixon Company expects $650,000 of credit sales in...Ch. 13 - The actual and standard direct materials costs for...Ch. 13 - Bower Company produced 4,000 units of product. The...Ch. 13 - Prob. 1CDQCh. 13 - What is the manager’s role in a responsibility...Ch. 13 - Briefly describe the type of human behavior...Ch. 13 - Give an example of budgetary slack.Ch. 13 - What behavioral problems are associated with...
Ch. 13 - Prob. 6CDQCh. 13 - Prob. 7CDQCh. 13 - Under what circumstances would a static budget be...Ch. 13 - How do computerized budgeting systems aid firms in...Ch. 13 - What is the first step in preparing a master...Ch. 13 - Why should the production requirements set forth...Ch. 13 - Why should the timing of direct materials...Ch. 13 - Prob. 13CDQCh. 13 - Prob. 14CDQCh. 13 - Prob. 15CDQCh. 13 - Prob. 16CDQCh. 13 - Prob. 17CDQCh. 13 - Prob. 18CDQCh. 13 - What is meant by reporting by the "principle of...Ch. 13 - Prob. 20CDQCh. 13 - How are standards used in budgetary performance...Ch. 13 - a. What are the two variances between the actual...Ch. 13 - Prob. 23CDQCh. 13 - Prob. 24CDQCh. 13 - Prob. 25CDQCh. 13 - Prob. 26CDQCh. 13 - Flexible budget for selling and administrative...Ch. 13 - Static budget vs. flexible budget The production...Ch. 13 - Flexible budget for Fabrication Department...Ch. 13 - Sales and production budgets Ultimate Audio...Ch. 13 - Professional fees earned budget Day & Spieth,...Ch. 13 - Professional labor cost budget Based on the data...Ch. 13 - Direct materials purchases budget Zippy's Frozen...Ch. 13 - Prob. 13.8ECh. 13 - Prob. 13.9ECh. 13 - Production and direct labor cost budgets Levi...Ch. 13 - Factory overhead cost budget Nutty Candy Company...Ch. 13 - Cost of goods sold budget The controller of Pueblo...Ch. 13 - Prob. 13.13ECh. 13 - Schedule of cash collections of accounts...Ch. 13 - Schedule of cash payments Tadpole Learning Systems...Ch. 13 - Schedule of cash payments Organic Physical Therapy...Ch. 13 - Capital expenditures budget On August 1, 20Y4. the...Ch. 13 - Standard product cost Sorrento Furniture Company...Ch. 13 - Prob. 13.19ECh. 13 - Direct materials variances The following data...Ch. 13 - Standard direct materials cost per unit from...Ch. 13 - Standard product cost, direct materials variance...Ch. 13 - Direct labor variances The following data relate...Ch. 13 - Prob. 13.24ECh. 13 - Direct materials and direct labor variances At the...Ch. 13 - Prob. 13.26ECh. 13 - Factory overhead cost variances The following data...Ch. 13 - Prob. 13.28ECh. 13 - Factory overhead variance corrections The data...Ch. 13 - Prob. 13.30ECh. 13 - Sales, production, direct materials purchases, and...Ch. 13 - Sales, production, direct materials purchases, and...Ch. 13 - Sales, production, direct materials purchases, and...Ch. 13 - Sales, production, direct materials purchases, and...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Prob. 13.2.7PCh. 13 - Budgeted income statement and supporting budgets...Ch. 13 - Cash budget The controller of Shoe Mart Inc. asks...Ch. 13 - Cash budget The controller of Shoe Mart Inc. asks...Ch. 13 - Direct materials and direct labor variance...Ch. 13 - Direct materials and direct labor, variance...Ch. 13 - Prob. 13.6.1PCh. 13 - Prob. 13.6.2PCh. 13 - Prob. 13.6.3PCh. 13 - Prob. 13.6.4PCh. 13 - Prob. 13.6.5PCh. 13 - Standards for nonmanufacturing expenses The...Ch. 13 - Prob. 13.7PCh. 13 - Prob. 13.1.1MBACh. 13 - Prob. 13.1.2MBACh. 13 - Prob. 13.1.3MBACh. 13 - Prob. 13.1.4MBACh. 13 - Prob. 13.1.5MBACh. 13 - Prob. 13.1.6MBACh. 13 - Prob. 13.2.1MBACh. 13 - Prob. 13.2.2MBACh. 13 - Prob. 13.2.3MBACh. 13 - Prob. 13.2.4MBACh. 13 - Process yield Hendrick Motorsports sponsors cars...Ch. 13 - Prob. 13.3.1MBACh. 13 - Prob. 13.3.2MBACh. 13 - Prob. 13.3.3MBACh. 13 - Prob. 13.3.4MBACh. 13 - Prob. 13.4.1MBACh. 13 - Prob. 13.4.2MBACh. 13 - Prob. 13.4.3MBACh. 13 - Prob. 13.4.4MBACh. 13 - Prob. 13.5.1MBACh. 13 - Prob. 13.5.2MBACh. 13 - Prob. 13.5.3MBACh. 13 - Prob. 13.5.4MBACh. 13 - Utilization rate Delta Air Lines (DAL) reported...Ch. 13 - Prob. 13.6.2MBACh. 13 - Prob. 13.6.3MBACh. 13 - Prob. 13.7.1MBACh. 13 - Prob. 13.7.2MBACh. 13 - Prob. 13.7.3MBACh. 13 - Ethics and professional conduct in business The...Ch. 13 - Prob. 13.2.1CCh. 13 - Prob. 13.2.2CCh. 13 - Prob. 13.3.1CCh. 13 - Prob. 13.3.2CCh. 13 - Objectives of the master budget Domino's Pizza LLC...Ch. 13 - Prob. 13.5.1CCh. 13 - Prob. 13.5.2CCh. 13 - Prob. 13.6CCh. 13 - Prob. 13.7C
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- f the assumed efficiency of the clinicians (including Nurse Practitioners and Physician's Asst) changed to 85%, calculate the productive capacity for January[x]. (Exhibit I.5c). Exhibit I-5c Calculation of RVU productivity capacity in January Givens: Physician Productivity A Number of Physician I 12 B Number of Physician II 8 C Shifts per year per full-time physician 204 D Hours per shift per physician 10 E Minutes per RVU 15 F RVUs per hour 4 G Physician efficiency 87% H Days in this month 31 PA or NP Productivity I Number Physician…arrow_forwardSuppose a basic health facility is operating in Peshawar district. Beingstorekeeper, calculate Facility Max level? If EOP = 3 monthsReview Period = quarterlyAMC = 500 units / monthMax stock quantity = 600 unitsOn month end, SOH = 300 unitsOrder = Max stock quantity – Stock on handOrder quantity= 300 unitsarrow_forwardJ&J Co. provides house cleaning services. The company uses the number of jobs to measure activity. At the beginning of March, the company budgeted for 60 jobs, but the actual number of jobs turned out to be 70. Wages and salaries expense is a mixed cost. Supplies expense is a variable cost. Transportation expense is a fixed cost. Here is a report comparing the actual vs. budgeted revenues and costs for the month of March: What is the amount of Supplies Expense in the Flexible Budget?arrow_forward
- Bieber Company produces floor mats used in gyms and dojos. The sales budget for four months of the year is as shown in the table. Company policy requires that ending inventories for each month be 15 percent of next month’s sales. At the beginning of April, the beginning inventory of mats met that policy. 1.Compute for the number of units produced for the month of May. 2.Compute for the number of units produced for the month of July.arrow_forwardRamkissoon Midwifery's cost formula for its wages and salaries is $2,060 per month plus $442 per birth. For the month of July, the company planned for activity of 117 births, but the actual level of activity was 114 births. The actual wages and salaries for the month was $54,500. The spending variance for wages and salaries in July would be closest to:arrow_forwardDinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During March, the kennel budgeted for 5,200 tenant-days, but its actual level of activity was 5,230 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue 0 $ 35.70 Wages and salaries $ 2,400 $ 9.10 Food and supplies 1,600 15.60 Facility expenses 8,000 4.60 Administrative expenses 6,500 0.40 Total expenses $ 18,500 $ 29.70 Actual results for March: Revenue $ 171,323 Wages and salaries $ 28,710 Food and supplies $ 82,980 Facility expenses $ 32,258 Administrative expenses $ 7,111 The overall revenue and spending variance (i.e., the variance for net operating income in the revenue and spending variance column on the flexible budget performance…arrow_forward
- Drainee purchases direct materials each month. Its payment history shows that 65% is paid in the month of purchase with the remaining balance paid the month after purchase. Prepare a cash payment schedule for January using this data: in December through February, it purchased $22,000, $25,000, and $23,000 respectively.arrow_forwardDinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During March, the kennel budgeted for 4,500 tenant-days, but its actual level of activity was 4,560 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue 0 $ 35.00 Wages and salaries $ 3,400 $ 8.40 Food and supplies 2,400 14.90 Facility expenses 8,900 3.90 Administrative expenses 7,400 0.30 Total expenses $ 22,100 $ 27.50 Actual results for March: Revenue $ 142,130 Wages and salaries $ 28,640 Food and supplies $ 71,025 Facility expenses $ 26,125 Administrative expenses $ 7,104 The spending variance for food and supplies in March would be closest to:arrow_forwardSpeyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1200 patient-visits and the actual level of activity was 1190 patient-visits. The cost formula for administrative expenses is $4.40 per patient-visit plus $24,000 per month. The actual administrative expense was $23,500. Last month the clinic's spending variance for administrative expenses was:arrow_forward
- Bade Midwifery's cost formula for its wages and salaries is $1,230 per month plus $240 per birth. For the month of October, the company planned for activity of 105 births, but the actual level of activity was 101 births. The actual wages and salaries for the month was $26,470. The activity variance for wages and salaries in October would be closest to:arrow_forwardZenon Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During July, the kennel budgeted for 3,300 tenant-days, but its actual level of activity was 3,260 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for July:Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue − $ 27.60 Wages and salaries $ 3,400 $ 5.10 Food and supplies 1,000 8.20 Facility expenses 8,600 4.90 Administrative expenses 7,000 0.40 Total expenses $ 20,000 $ 18.60 Actual results for July: Revenue $ 87,446 Wages and salaries $ 19,556 Food and supplies $ 27,262 Facility expenses $ 24,004 Administrative expenses $ 8,704 The facility expenses in the flexible budget for July would be closest to: $25,311 $24,770 $24,701 $24,574arrow_forwardWe are preparing a Departmental Income Statement. We must allocate indirect expenses between Sales Dept. 1 and Sales Dept. 2. For this month, Insurance expenses = $50,000. They are allocated on the basis of square footage. Sales Dept. 1 occupies 10,000 square feet; Sales Dept. 2 occupies 18,000 square feet. How much insurance expense will be allocated to Sales Dept. 2? *Round to dollars.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Survey of Accounting (Accounting I)AccountingISBN:9781305961883Author:Carl WarrenPublisher:Cengage LearningFinancial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College Pub
- Principles of Cost AccountingAccountingISBN:9781305087408Author:Edward J. Vanderbeck, Maria R. MitchellPublisher:Cengage Learning
Survey of Accounting (Accounting I)
Accounting
ISBN:9781305961883
Author:Carl Warren
Publisher:Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
Principles of Cost Accounting
Accounting
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Cengage Learning
How to Estimate Project Costs: A Method for Cost Estimation; Author: Online PM Courses - Mike Clayton;https://www.youtube.com/watch?v=YQ2Wi3Jh3X0;License: Standard Youtube License