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university of missouri st. louis Operations And Supply Chain Management Assignment Help - the new administrator

Question - David Jones, the new administrator for a surgical clinic, was trying to determine how to allocate his indirect expenses. His staff was complaining that the current method of taking a percentage of revenues was unfair. He decided to try to allocate utilities based on square footage of each department, administration based on direct costs, and laboratory based on tests. Use the information in the chart below to answer problems 1'3. Square Footage Direct Expenses Lab Tests Utilities $ 200,000 Administration 2,000 500,000 Laboratory 2,000 625,000 Day-op Suite 3,000 1,400,000 4,000 Cystoscopy 1,500 300,000 500 Endoscopy 1,500 600,000 500 Total 10,000 $ 3,375,000 5,000 1.W hat are the Day Op Suite's total expenses? 2.W hat are ...Read More

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