(Solved): Bloomington Nursing Facility wants to determine the cost of a patient day for the three levels of ca ...

Expert Answer

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SOLUTION:

To determine the full cost of one patient day in the Assisted Living area, we need to use the cost allocation method, which involves allocating the total costs of the facility to each level of care based on their relative weights.



First, we need to calculate the total relative weight for all levels of care:
Total relative weight = 0.7 + 1 + 2.5 = 4.2