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,
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,
Chapter1: Financial Statements And Business Decisions
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