Hcm Quiz

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Submitted By astave1
Words 419
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* Question 1
0 out of 1 points | | | The relationship between costs and the volume of services provided is called underlying cost structure | | | | | Correct Answer: | True | | | | | * Question 2
0 out of 1 points | | | The Housekeeping Department of Micanopy Hospital has direct costs of $500,000. The hospital's four patient service departments utilize the following amounts of space:
Department A = 1,000 square feet
Department B = 2,000 square feet
Department C = 3,000 square feet
Department D = 4,000 square feet
Assuming that the cost driver for housekeeping costs is the amount of occupied space, what is the allocation of housekeeping costs to Department A? | | | | | Correct Answer: | $50,000 | | | | | * Question 3
0 out of 1 points | | | Which of the following statements about cost allocation is most correct? | | | | | Correct Answer: | The step-down method of allocation represents a compromise between the direct method and the reciprocal method | | | | | * Question 4
0 out of 1 points | | | Which of the following statements about cost allocation is(are) most correct? | | | | | Correct Answer: | The reciprocal method is conceptually best but typically the most expensive to implement | | | | | * Question 5
0 out of 1 points | | | Assume that Lexington Hospital has fixed costs of $10 million and a variable cost (per inpatient day) rate of $200. What is the total cost forecast for a volume of 50,000 patient days? | | | | | Correct Answer: | $20 million | | | | | * Question 6
0 out of 1 points | | | Which of the following statements about managerial accounting is incorrect? | | | | | Correct Answer: | Managerial accounting information is prepared in accordance with rules established by outsiders (generally accepted…...

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