Suppose the Burlington Donor Clinic of Canadian Blood Services has identified an individual blood drive as its cost object. It has established the following cost pools in developing an activity-based costing system:
Non-medical personnel costs. Salaries and wages of the office staff who organize blood drives and keep donor records.
Medical personnel costs. Salaries and wages of doctors and nurses who staff a blood drive.
Medical supplies. Cost of needles, bandages, and containers for donated blood.
Non-medical supplies. Costs of refreshments for blood donors and recordkeeping supplies.
Blood drives typically require 5 to 7 beds for blood donors. Each donation requires one container (in the medical supplies cost pool), one needle, and one set of bandages. Canadian Blood Services normally receives donated space from a community organization (such as a university or company) for each blood drive.
The most likely cost driver for the medical supplies cost pool is:

Question

Quizplus · Accepted Answer

The number of blood donors is the most likely cost driver for the medical supplies cost pool as each donation requires one container, one needle, and one set of bandages. The more donors, the more supplies needed. The other options (number of beds, hours available for blood donations, and percentage of square metres occupied by the blood drive) do not directly affect the medical supplies used at the blood drive.

Suppose the Burlington Donor Clinic of Canadian Blood Services Has