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HealthNorth provides rehabilitation services through two departments Physical Therapy and Cardiac Rehab. It also has three other departments ( support cost centers ) that do

HealthNorth provides rehabilitation services through two departmentsPhysical Therapy and Cardiac Rehab. It also has three other departments (support cost centers) that do not directly generate any revenue. Direct costs and resource use for each department are given in the table below. Using the step-down method--and square feet, administration hours, and number of computers as the allocation basis for Housekeeping, Administration, and Information Technology respectively--complete the allocation table (grey cells) below.Cost centers Direct costs Square feet Administration hours Number of computers
Support
Housekeeping $100,000-5005
Administration $70,0005,000-50
Information Technology $70,0003,000500-
Mission
Physical Therapy $2,000,00044,0006,00060
Cardiac Rehab $1,700,00048,0003,00075
Total $3,940,000 Allo+B22:K31cation Table
Cost Centers Direct Costs "Allocation from
Housekeeping" Subtotal "Allocation from
Administration" Subtotal "Allocation from
IT" Total Costs
Support
Housekeeping $100,000($100,000) $0 Out of picture -
Administration $70,000 $5,000 $75,000($75,000) $0
IT $70,000 $3,000 $73,000 $3,947
Mission
Physical Therapy $2,000,000 $44,000 $2,044,000
Cardiac Rehab $1,700,000 $48,000 $1,748,000 $23,684
Total $3,940,000 $3,940,000 $3,940,000 $3,940,000

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