All of the following would be considered activities of a hos

All of the following would be considered activities of a hospital for activity based costing except O a. admission. O b. depreciation. O c. dietary and laundry O d. operating room.

Solution

Ans b Depreciation No. of admissions, operating rooms ,dietary and laundry used are the activity drivers for an hospital. But depreciation is a fixed expense for a hospital as a whole hence so this cannot be an activy driver. If any doubt please comment. If satisfied you can rate