Required informationThe Bureau of Indian Affairs provides various services to American Indians and Alaska Natives. The Director of IndianHealth Services is working with chief physicians at some of the 230 clinics nationwide to select the better of two medicalX-ray system alternatives to be located at secondary-level clinics.X-Ray SystemsDel MedicalFirst cost, $-230,000Annual operating cost, $/year-211,000Overhaul in year 3, $Overhaul in year 4, $Salvage value, $Expected life, years-140,00050,0006Siemens-204,000-215,000-26,00010,0006At 5% per year, select the more economical system. Solve using single-cell spreadsheet functions.The spreadsheet function for calculating the present worth of Del Medical is =-PV(5%,6,-230000,50000) - 211000 - PV(5%,4,,-140000) ·the present worth of Del Medical is $-andand theThe spreadsheet function for calculating the present worth of Siemens is =-PV (5%,6,,-215000,10000) - 204000 - PV(5%,6,-26000) ►present worth of Siemens is $-The more economical system is Del medical

Capital budgeting is a technique in which investment projects are evaluated for taking investment…

Answered: Required information The Bureau of…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 15E

See similar textbooks

Similar questions

Required information The Bureau of Indian Affairs provides various services to American Indians and Alaska Natives. The Director of Indian Health Services is working with chief physicians at some of the 230 clinics nationwide to select the better of two medical X-ray system alternatives to be located at secondary-level clinics. X-Ray Systems Del Medical First cost, $ -236,000 Annual operating cost, $/year-217,000 Overhaul in year 3, $ Overhaul in year 4, $ Salvage value, $ Expected life, years -140,000 50,000 6 Siemens -210,000 -221,000 -26,000 10,000 6 At 5% per year, select the more economical system. Solve using tabulated factors. The present worth of Del Medical is $- and the present worth of Siemens is $- The more economical system is (Click to select)
! Required information The Bureau of Indian Affairs provides various services to American Indians and Alaska Natives. The Director of Indian Health Services is working with chief physicians at some of the 230 clinics nationwide to select the better of two medical X-ray system alternatives to be located at secondary-level clinics. X-Ray Systems Del Medical First cost, $ -230,000 Annual operating cost, $/year-211,000 Overhaul in year 3, $ Overhaul in year 4, $ Salvage value, $ Expected life, years -140,000 50,000 6 Siemens -204,000 -215,000 -26,000 |-- 10,000 6 At 5% per year, select the more economical system. Solve using single-cell spreadsheet functions. The spreadsheet function for calculating the present worth of Del Medical is (Click to select) the present worth of Del Medical is $- The spreadsheet function for calculating the present worth of Siemens is (Click to select) present worth of Siemens is $- The more economical system is (Click to select) and and the
Three Rivers Inc. provides cable TV and Internet service to the local community. The activities and activity costs of Three Rivers are identified as follows: Activities Activity Cost Billing error correction $60,000 Cable signal testing 140,000 Reinstalling service (installed incorrectly the first time) 40,000 Repairing satellite equipment 50,000 Repairing underground cable connections to the customer 25,000 Replacing old technology cable with higher quality cable 175,000 Replacing old technology signal switches with higher quality switches 150,000 Responding to customer home repair requests 30,000 Training employees 80,000 Total 750,000 Prepare a Pareto chart of these activities.
Cost allocation in hospitals, alternative allocation criteria. Harold Monette vacationed at Lake Tahoe last winter. Unfortunately, he broke his ankle while skiing and spent two days at the Sierra University Hospital. Monette’s insurance company received a $4,950 bill for his two-day stay. One item that caught Monette’s attention was a $10.60 charge for a roll of cotton. Monette is a salesman for Johnson & Johnson and knows that the cost to the hospital of the roll of cotton is between $2.45 and $3.25. He asked for a breakdown of the $10.60 charge. The accounting office of the hospital sent him the following information: Monette believes the overhead charge is outrageous. He comments, “There was nothing I could do about it. When they come in and dab your stitches, it’s not as if you can say, ‘Keep your cotton roll. I brought my own.’”
1. The Dental Services department of Our Town Community Health Center provides 3 services: Routine examinations, cleanings, and fillings. The fully allocated costs in 2020 for the Dental Services Department were $600,000. Information on the services performed in 2020 are listed in the table below. Total Charges Billed 300,000 187,500 210,000 Service #Procedures Total Revenues 2,000 1,500 700 $260,000 $170,000 $210,000 Exams Cleanings Fillings A) Using the Cost to Charge Ratio Method using charges, what is the cost incurred during 2020 for the Dental Services Department to perform exams, cleanings, and fillings (in aggregate)? B) What is the average cost per exam, per deaning, and per filling? 2) The Dental Services Department Manager just found out about another way to estimate their service costs: the RVU Method. Exams have an RVU of 1 Cleanings have an RVU of 0.75 Fillings have an RVU of 3 A) How many RVUs did the Dental Services Department produce in 20207? B) What is the cost per…
County Community Clinic is made up of 5 departments: 3 Service Line (revenue generating) departments - Adult Health, Child Health and Mental Health. They also have 2 support departments - Administration and Finance. The Direct Costs for the 5 Departments are: Administration Finance Adult Health Child Health Mental Health Finance Adult Health Child Health Here is some other data on the County Community Clinic Departments Department FTE Visits Administration 3 2 $400,000 $100,000 10 8 Behavioral Health 2 $1,000,000 $400,000 $100,000 10,000 4,000 1,000 Revenue $3,000,000 $1,000,000 $200,000
At the beginning of the new year, Mumford Regional's chief competitor is planning to open a brand-new Women's and Children's Hospital nearby. As a result, Mumford expects all its supply needs to decrease by 20%. Currently it's contracted vendor is Vendor C, using the information in Exhibit 10-14, determine whether if Mumford should change its contracted vendor to Vendor A or Vendor B. Enter total expense for using Vendor A. Enter total expense for using Vendor B. Enter total expense for using Vendor C. Which vendor should Mumford select? Enter Vendor A, Vendor B or Vendor C as your answer. Exhibit 10-14 Alternative Vendor Options for Mumford Regional Volume of Vendor A Vendor B Vendor C Supplies Unit Total Unit Total Unit Total Supply Needed Price Cost Price Cost Price Cost Item 1 88,000 $ 2.35 $ 206,800 $ 2.42 $ 212,960 $ 2.28 $ 200,640…
A nongovernmental not-for-profit animal shelter receives contributed services from the following individuals valued at their normal billing rate: Board members volunteer to prepare books for audit 4,500 Registered nurse volunteers as receptionist 3,000 Teacher provides volunteer dog walking 2,000 What amount should the shelter record as contribution revenue? A.) $7,500 B.) $4,500 C.) $6,500 D.) $9,500
dental hygienists, and other dental professionals. The university provides both traditional undergraduate courses to 9,000 students and continuing professional education (CPE) courses to 6,000 practicing professionals. UDH has just hired a new controller who wants to utilize ABC. The controller has identified three key activities performed by the university and the cost of each of these activities: • UDH has three buildings with a total of 150,000 square feet of classroom and facility space. Due to the large space requirements for labs and other training facilities, the undergraduate program utilizes 127,500 square feet. Total cost, $1,650,000. • UDH offers career placement services for undergraduate students, career counseling for active professionals taking CPE courses, and other student services to both groups. Total cost, $420,000. • UDH offers 1,500 different instructional courses each year, 975 of which are undergraduate courses. Total cost, $3,450,000. Required: 1. Compute an…
Cost Effectiveness Analysis Again, ATH is trying to be preemptive in the face of the influenza threat. Local board of health always highly recommend all employees of healthcare organizations receive the flu shot. Healthcare organizations then typically require them. Here are some statistics for your use. Review Module 9 if you are unsure of the terms I am about to present to you. ATH employees 1200 employees ATH employees full time, part time, and PRN employees for a total of 750 FTEs The average wage for all employees is $20 hour ATH has 200 patient beds. Its occupancy rate is typically 85%. The average cost per flu shot is $15 The last outbreak of H1N1 hit the hospital hard. The average number of hours that had to be covered of absent employees on any given day totaled 200. There were four days of this. How many hours total had to be covered?
7/26/2021 Content The hospital where you are employed is continuing with their analysis with the goal of opening a walk- in clinic. After conducting additional research, the financial projections for the first year of operations are as follows: • Revenues (from 10,000 visits): $400,000 Wages and benefits: $220,000 • Rent: $5,000 Depreciation: $30,000 Utilities: $2,500 • Medical supplies: $50,000 Administrative supplies: $10,000 Assume that all costs are fixed except supply costs, which are variable. Assume that the clinic will be required to pay taxes at a 30% tax rate. Respond to the following questions. Be sure to show your work for all calculations. 1. Prepare the clinic's projected Profit and Loss (P&L) Statement. (8 points) 2. What number of visits is required to break even? (3 points) 3. What number of visits is required to provide you with an after-tax profit of $100,000? (4 points)
Monica Lee, Administrative Director of Digital Imaging Center, has been asked by the practice members to see if it is feasible to add a technologist aide to support the practice's mammography service. The center currently has two digital mammography units, two technologists and one technologist aide. She has complied the following information: Reimbursement per mammogram: $140 Equipment lease per month per machine: $12,000 Equipment maintenance cost per month per machine: $9,000 Technologist cost per mammogram: $35 Technologist aide cost per mammogram: $20 Variable cost per mammogram: 13 a: What is the patient volume Digital Imaging needs per month to cover fixed and variable costs and to make a $20,000 profit to cover other practice costs[x]?

SEE MORE QUESTIONS

Recommended textbooks for you

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS