An OB/GYN Department is developing an RVU and product cost for the following procedures, given the projected volumes and sample direct costs. Projected total costs for the OB/GYN department are $12,000,000 ($7,000,000 in direct costs and $5,000,000 in indirect costs).
Calculate the cost per procedure using Job-Order Costing.
For this problem, be sure to use the following steps:
1. Calculate the RVU for each procedure.
2. Calculate the total cost for each procedure.
Next, calculate the cost per procedure using Activity-Based Costing
1. Calculate the direct RVU and the cost driver for each procedure.
2. Calculate the total cost for each procedure
– Provide answers in Microsoft Excel