What are the total costs allocated to the surgery department from the supporting departments? (Do not round the intermediate calculations.)
What are the total costs allocated to the surgery department from the supporting departments? (Do not round the intermediate calculations.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Blue Spruce's Medical operates three support departments and two operating units, Surgery and ER. The support departments are
allocated based on the hours used. The cost of operating the accounting (acct), administration (admin), and human resources (HR)
departments is $267800, $150600, and $71600, respectively. Information on the hours used are as follows:
Hours in Acct
Hours in Admin
Hours in HR
Acct
$0.
$276955.
$274542.
$251890.
16
8
Admin
20
4
HR
48
8
Surgery ER
360
220
120
65
80
130
What are the total costs allocated to the surgery department from the supporting departments? (Do not round the intermediate
calculations.)"
Transcribed Image Text:Current Attempt in Progress
Blue Spruce's Medical operates three support departments and two operating units, Surgery and ER. The support departments are
allocated based on the hours used. The cost of operating the accounting (acct), administration (admin), and human resources (HR)
departments is $267800, $150600, and $71600, respectively. Information on the hours used are as follows:
Hours in Acct
Hours in Admin
Hours in HR
Acct
$0.
$276955.
$274542.
$251890.
16
8
Admin
20
4
HR
48
8
Surgery ER
360
220
120
65
80
130
What are the total costs allocated to the surgery department from the supporting departments? (Do not round the intermediate
calculations.)
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