our organization has opened a walk-in clinic. A list of expenses has been given to the new staff accountant, Marvin, from the walk-in clinic manager and Marvin needs your help. Marvin wants you to help him identify whether costs shown in the table below are direct or indirect. Additionally, Marvin would like you to describe: 1. The difference between direct and indirect costs. 2. The "rule of thumb" for recognizing direct costs. 3. Update the direct and indirect columns by placing an X in the appropriate column. 4. The monetary total of direct and indirect costs. Item Cost Direct Indirect IT Salaries and Benefits $1,500 RN Salaries and Benefits $9,600 Utilities and Telephone $3,000 Carpets $1,000 Magazine Subscriptions $ 50 Vehicle Expense $1,775 Exam Table $5,500 End Tables $ 500 Coffee Tables $1,400 Facility Insurance $ 650 Staff Uniforms $1,200 Cleaning Supplies $ 200 Desk Lamps $ 150 Front Desk Flowers $ 300 Bottled Water $ 250 Facility Maintenance $ 700 Landscaping Expense $1,800 Facility Cleaning $1,500
our organization has opened a walk-in clinic. A list of expenses has been given to the new staff accountant, Marvin, from the walk-in clinic manager and Marvin needs your help. Marvin wants you to help him identify whether costs shown in the table below are direct or indirect. Additionally, Marvin would like you to describe: 1. The difference between direct and indirect costs. 2. The "rule of thumb" for recognizing direct costs. 3. Update the direct and indirect columns by placing an X in the appropriate column. 4. The monetary total of direct and indirect costs. Item Cost Direct Indirect IT Salaries and Benefits $1,500 RN Salaries and Benefits $9,600 Utilities and Telephone $3,000 Carpets $1,000 Magazine Subscriptions $ 50 Vehicle Expense $1,775 Exam Table $5,500 End Tables $ 500 Coffee Tables $1,400 Facility Insurance $ 650 Staff Uniforms $1,200 Cleaning Supplies $ 200 Desk Lamps $ 150 Front Desk Flowers $ 300 Bottled Water $ 250 Facility Maintenance $ 700 Landscaping Expense $1,800 Facility Cleaning $1,500
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Your organization has opened a walk-in clinic. A list of expenses has been given to the new staff accountant, Marvin, from the walk-in clinic manager and Marvin needs your help. Marvin wants you to help him identify whether costs shown in the table below are direct or indirect. Additionally, Marvin would like you to describe:
1. The difference between direct and indirect costs.
2. The "rule of thumb" for recognizing direct costs.
3. Update the direct and indirect columns by placing an X in the appropriate column.
4. The monetary total of direct and indirect costs.
| Item | Cost | Direct | Indirect |
| IT Salaries and Benefits | $1,500 | ||
| RN Salaries and Benefits | $9,600 | ||
| Utilities and Telephone | $3,000 | ||
| Carpets | $1,000 | ||
| Magazine Subscriptions | $ 50 | ||
| Vehicle Expense | $1,775 | ||
| Exam Table | $5,500 | ||
| End Tables | $ 500 | ||
| Coffee Tables | $1,400 | ||
| Facility Insurance | $ 650 | ||
| Staff Uniforms | $1,200 | ||
| Cleaning Supplies | $ 200 | ||
| Desk Lamps | $ 150 | ||
| Front Desk Flowers | $ 300 | ||
| Bottled Water | $ 250 | ||
| Facility Maintenance | $ 700 | ||
| Landscaping Expense | $1,800 | ||
| Facility Cleaning | $1,500 |
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