Costing exercise Annual costs direct Annual units of

Costing exercise

Annual costs ($) direct Annual units of Direct cost per Allocation basis output unit ($) Annual hours paid ft 2 Annual laundry(kg) Overhead departments Administration 2, 000 Pd-hrs 200, 000 30, 000 0 Housekeeping 1, 500, 000 ft 2 300, 000 4, 000 80, 000 Laundry 1, 300, 000 kg 200, 000 8, 000 0 Other 10, 200, 000 300, 000 158, 000 120, 000 Subtotal 15, 000 1, 000 200, 000 Final departments Laboratory 4, 000 8, 000 0. 50/WMU 250, 000 30, 000 25, 000 ICU 500, 000 5, 000 100/PT. DAY 50, 000 8, 000 75, 000 Other 30, 500, 000 1, 700, 000 562, 000 1, 200, 000 Subtotal 35, 000 2, 000 600, 000 1, 300, 000 Hospital total 50, 000 3, 000 800. 000 1. 500. 000

• Laboratory cost/WMU – 4, 000/8, 000=$0, 50/WMU • ICU cost/patient day – $500, 000/5000=$100 patient/day

Annual costs ($) direct Annual units of Direct cost per Allocation basis output unit ($) Annual hours paid ft 2 Annual laundry(kg) Overhead departments Administration 2, 000 Pd-hrs 200, 000 30, 000 0 Housekeeping 1, 500, 000 ft 2 300, 000 4, 000 80, 000 Laundry 1, 300, 000 kg 200, 000 8, 000 0 Other 10, 200, 000 300, 000 158, 000 120, 000 Subtotal 15, 000 1, 000 200, 000 Final departments Laboratory 4, 000 8, 000 0. 50/WMU 250, 000 30, 000 25, 000 ICU 500, 000 5, 000 100/PT. DAY 50, 000 8, 000 75, 000 Other 30, 500, 000 1, 700, 000 562, 000 1, 200, 000 Subtotal 35, 000 2, 000 600, 000 1, 300, 000 Hospital total 50, 000 3, 000 800. 000 1. 500. 000

Annual costs ($) direct Annual units of Direct cost per Allocation basis output unit ($) Annual hours paid ft 2 Annual laundry(kg) Overhead departments Administration 2, 000 Pd-hrs 200, 000 30, 000 0 Housekeeping 1, 500, 000 ft 2 300, 000 4, 000 80, 000 Laundry 1, 300, 000 kg 200, 000 8, 000 0 Other 10, 200, 000 300, 000 158, 000 120, 000 Subtotal 15, 000 1, 000 200, 000 Final departments Laboratory 4, 000 8, 000 0. 50/WMU 250, 000 30, 000 25, 000 ICU 500, 000 5, 000 100/PT. DAY 50, 000 8, 000 75, 000 Other 30, 500, 000 1, 700, 000 562, 000 1, 200, 000 Subtotal 35, 000 2, 000 600, 000 1, 300, 000 Hospital total 50, 000 3, 000 800. 000 1. 500. 000 •

Question 2 Cost component Stroke unit General medical ward Thrombolysis Percentage of patients being thrombolysed Average length of stay in Stroke Unit in general medical ward Time available for physician for each day of stay Physician wage Average wage Out patient visit Average number of outpatient visits Unit cost 150 Euros 500 Euros 1% Unit Per day Per patient 6 days 4 30 minutes 10 Euros 1 o Euros 10 Euros 4 hour day Per diem Per year

• What is the hospital cost of stroke? Average cost for stroke unit=6 x 150 =900 Euros Average cost for general MW= 50 X 4= 200 Euros Average cost for thrombolysis= 500 x 0. 01= 5 Euros Physician cost= 10 days x (30/60) x 10 = 50 Euros Hospital cost per patients=1155 Euros

• What is the outpatient cost of stroke? • • 4 x 10=40 Euros

• What is the societal cost? • =Hospital cost+Outpatient costs + productivity loss(=10 x 10) • =1155+40+100=1255 Euros