Your wellness clinic wants to develop a product cost for the following activities using labor expense and supply expense to assign direct cost and visit minutes as a cost driver to assign indirect costs. Projected total costs for your wellness clinic are $600,000 ($300,000 direct and $300,000 indirect). Assign costs to each activity using the following info.
Activity - Projected volumes - Labor expense ($) - Supply expense ($) - Visit minutes
Evaluation 4,000 30 10 60
Education 3,000 50 20 40
Exercise 2,000 05 00 90
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