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Memorial Hospital has three support departments and four patient services departments. The direct costs to each of the support departments are Assume that the hospital

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Memorial Hospital has three support departments and four patient services departments. The direct costs to each of the support departments are Assume that the hospital uses salary dollars as the cost driver for general administration, housekeeping labor hours as the cost driver for facilities, and patient services revenue as the cost driver for financial services. (The majority of the costs of the facilities department stem from the provision of housekeeping services.) Memorial Hospital has three support departments and four patient services departments. The direct costs to each of the support departments are Assume that the hospital uses salary dollars as the cost driver for general administration, housekeeping labor hours as the cost driver for facilities, and patient services revenue as the cost driver for financial services. (The majority of the costs of the facilities department stem from the provision of housekeeping services.)

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