This assignment is designed to help you learn how to determine total costs by combining direct and indirect costs for a particular department. In this GHA, you will be determining the total costs for three departments: (1) Physical Therapy (2) Occupational Therapy and (3) Speech Therapy. To determine the total costs, you will need to add the direct costs to the indirect costs using the template provided below. Please use the example provided in the assignment description if you find that you need some support understanding the required calculations. DIRECT COSTS The direct costs for each department are easily identifiable, because they are the costs that are directly attributable to the department. The direct costs are as follows: Physical Therapy (PT) Occupational Therapy (OT) Speech Therapy (ST) Total Direct Costs INDIRECT COSTS The indirect costs will need to be allocated to Physical Therapy (PT), Occupational Therapy (OT), and Speech Therapy (ST). The indirect costs in this scenario have been identified as: (1) Clerical Salaries, (2) Administrative Salaries, and (3) Computer Servies. The total indirect costs that need to be allocated to PT, OT, and ST are as follows: Total Indirect Costs 60,000 75,000 65,000 50,000 50,000 Each type of indirect cost will need to be allocated to each department based on an allocation basis that is appropriate for the particular type of cost. Clerical Salaries will be allocated based on Visit Volume. Administrative Salaries will be allocated based on the Proportion of Direct Costs Computer Services will be allocated based on the Number of Computers in Service. Step 1: Set-up a Table of Direct and Indirect Costs
This assignment is designed to help you learn how to determine total costs by combining direct and indirect costs for a particular department. In this GHA, you will be determining the total costs for three departments: (1) Physical Therapy (2) Occupational Therapy and (3) Speech Therapy. To determine the total costs, you will need to add the direct costs to the indirect costs using the template provided below. Please use the example provided in the assignment description if you find that you need some support understanding the required calculations. DIRECT COSTS The direct costs for each department are easily identifiable, because they are the costs that are directly attributable to the department. The direct costs are as follows: Physical Therapy (PT) Occupational Therapy (OT) Speech Therapy (ST) Total Direct Costs INDIRECT COSTS The indirect costs will need to be allocated to Physical Therapy (PT), Occupational Therapy (OT), and Speech Therapy (ST). The indirect costs in this scenario have been identified as: (1) Clerical Salaries, (2) Administrative Salaries, and (3) Computer Servies. The total indirect costs that need to be allocated to PT, OT, and ST are as follows: Total Indirect Costs 60,000 75,000 65,000 50,000 50,000 Each type of indirect cost will need to be allocated to each department based on an allocation basis that is appropriate for the particular type of cost. Clerical Salaries will be allocated based on Visit Volume. Administrative Salaries will be allocated based on the Proportion of Direct Costs Computer Services will be allocated based on the Number of Computers in Service. Step 1: Set-up a Table of Direct and Indirect Costs
Organic Chemistry: A Guided Inquiry
2nd Edition
ISBN:9780618974122
Author:Andrei Straumanis
Publisher:Andrei Straumanis
Chapter5: Resonance
Section: Chapter Questions
Problem 18E
Related questions
Question
Transcribed Image Text:This assignment is designed to help you learn how to
determine total costs by combining direct and indirect
costs for a particular department.
In this GHA, you will be determining the total costs for
three departments: (1) Physical Therapy (2)
Occupational Therapy and (3) Speech Therapy.
To determine the total costs, you will need to add the
direct costs to the indirect costs using the template
provided below.
Please use the example provided in the assignment
description if you find that you need some support
understanding the required calculations.
DIRECT COSTS
The direct costs for each department are easily
identifiable, because they are the costs that are directly
attributable to the department.
The direct costs are as follows:
Physical Therapy (PT)
Occupational Therapy (OT)
Speech Therapy (ST)
Total Direct Costs
INDIRECT COSTS
The indirect costs will need to be allocated to Physical
Therapy (PT), Occupational Therapy (OT), and Speech
Therapy (ST).
The indirect costs in this scenario have been identified
as: (1) Clerical Salaries, (2) Administrative Salaries, and
(3) Computer Servies.
The total indirect costs that need to be allocated to PT,
OT, and ST are as follows:
Total Indirect Costs
60,000 75,000
65,000 50,000
50,000
Each type of indirect cost will need to be allocated to
each department based on an allocation basis that is
appropriate for the particular type of cost.
Clerical Salaries will be allocated based on Visit Volume.
Administrative Salaries will be allocated based on the
Proportion of Direct Costs
Computer Services will be allocated based on the
Number of Computers in Service.
Step 1: Set-up a Table of Direct and Indirect Costs
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Organic Chemistry: A Guided Inquiry
Chemistry
ISBN:
9780618974122
Author:
Andrei Straumanis
Publisher:
Cengage Learning
Organic Chemistry: A Guided Inquiry
Chemistry
ISBN:
9780618974122
Author:
Andrei Straumanis
Publisher:
Cengage Learning