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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 begin{tabular}{|c|c|c|c|c|} hline & &

image text in transcribed Memorial Hospital has three support departments and four patient services departments. The direct costs to each of the support departments are \begin{tabular}{|c|c|c|c|c|} \hline & & & & \\ \hline & \multicolumn{2}{|r|}{ Allocation Rate } & & \\ \hline General Administration & $3,500,000 & & & \\ \hline Facilities & $6,000,000 & & & \\ \hline Financial Services & \multicolumn{2}{|l|}{$1,500,000} & & \\ \hline Department & Patient Services & Space (Square Feet) & Housekeeping Labor & Salary Dollars \\ \hline \multicolumn{5}{|l|}{ Support: } \\ \hline General Administration & $ & 5,000 & 5,000 & $1,500,000 \\ \hline Facilities & \$- & 25,000 & 9,500 & $3,000,000 \\ \hline Financial Services & \$- & 4,000 & 3,500 & $1,250,000 \\ \hline Total & $ & 34,000 & 18,000 & $5,750,000 \\ \hline \multicolumn{5}{|l|}{ Patient Services: } \\ \hline Routine Care & $45,000,000 & 250,000 & 150,000 & $17,000,000 \\ \hline Intensive Care & $25,000,000 & 90,000 & 125,000 & $8,500,000 \\ \hline Diagnostic Services & $9,500,000 & 125,000 & 65,000 & $5,300,000 \\ \hline Other Services & $8,000,000 & 110,000 & 55,000 & $5,000,000 \\ \hline Total & $87,500,000 & 575,000 & 395,000 & $35,800,000 \\ \hline Grand Total & $87,500,000 & 609,000 & 413,000 & $41,550,000 \\ \hline \end{tabular} 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.) \begin{tabular}{|l|l|l|l|l|l|l|l|l|l|} \hline G\&A & Facilities & Financial Services & RC & IC & DS & Other \\ \hline \end{tabular} Facilities Financial Services

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