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Revenues Department Facilities (support dept) Accounting - Billig (support dept) Total for Support Departments Expenses $ 1,800,000 $ 2,000,000 s 3,800,000 Space (square Feet) Number

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Revenues Department Facilities (support dept) Accounting - Billig (support dept) Total for Support Departments Expenses $ 1,800,000 $ 2,000,000 s 3,800,000 Space (square Feet) Number of Procedures 10,000 20,000 30,000 Routine Care (patient services) Intensive Care (patient services) Diagnostic Services (patient services) Total for Patient Service Departnents Grant Total $ 30,000,000 $ $ 25,000,000 $ $ 20,000,000 $ $ 75,000,000 $ $ 75,000,000 S 10,000,000 9,000,000 7,000,000 20,000,000 29.800,000 125,000 100,000 75,000 300,000 330,000 500,000 450,000 400,000 1,350,000 1,350,000 #8. Using the Step-Down Method for this problem. Facilities has a total cost pool of $1,800,000. The cost driver has been determined to square footage. What would be the new allocation rate be for facilities? (Hint: round to the second decimal place) Choice A: $3.358 per square foot Choice B: $4.515 per square foot Choice C: $5.63 per square foot Choice D: $75.000.000 dollars #9. Using the Step-Down Method for this problem. How much would Facilities expense be allocated to the Accounting/Billing Department? (Hint: round to the second decimal place) Choice A: Nothing it is an indirect department Choice B: $75,000 Choice C: $92,000 Choice D: $112,600

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