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BRIEF EXERCISE Identifying Direct and indirect Costs [LOT] Norinwest FHospital i

ID: 337790 • Letter: B

Question

BRIEF EXERCISE Identifying Direct and indirect Costs [LOT] Norinwest FHospital is a full-service hospital that provides everything from major surgery and emergency room care to outpatient clinics. Required For each cost incurred at Northwest Hospital, indicate whether it would most likely be a direct cost or an t cost of the specified cost object by placing an)X appropriate column. DirectIndirect CostCost Cost Cost Object Ex. Catered food served to patientsAparticular patient 1, The wages of pediatric nursesThe pediatric department 2.Prescription drugs 3. Heating the hospital 4. The salary of the head of pediatricsThe pediatric department 5. The salary of the head of pediatrics ular pediatric patient : . . 8 The pediatric department , 6. Hospital chaplain's salaryA particular patient 7. Lab tests by outside contractorA particular patient 8. Lab tests by outside contractorr department

Explanation / Answer

BRIEF EXERCISE Identifying Direct and indirect Costs [LOT] Norinwest FHospital is a full-service hospital that provides everything from major surgery and emergency room care to outpatient clinics. Required For each cost incurred at Northwest Hospital, indicate whether it would most likely be a direct cost or an t cost of the specified cost object by placing an)X appropriate column. DirectIndirect CostCost Cost Cost Object Ex. Catered food served to patientsAparticular patient 1, The wages of pediatric nursesThe pediatric department 2.Prescription drugs 3. Heating the hospital 4. The salary of the head of pediatricsThe pediatric department 5. The salary of the head of pediatrics ular pediatric patient : . . 8 The pediatric department , 6. Hospital chaplain's salaryA particular patient 7. Lab tests by outside contractorA particular patient 8. Lab tests by outside contractorr department