St. Luke's Hospital has three support departments and four patient service The following data pertain to problems 6.7 and 6.8. departments. The direct costs to each of the support departments are as follows. General Administration Maintenance Employee Benefits Selected data for the three support and four patient services departments are shown below: 4,000,000 5,000,000 4,000,000 Number of Full-Time Equivalent Employees Salary Dollars 15 $ 2,500,000 Patient Space Services (square Department Revenue feet) Support: General 8,000 Administration Maintenance 10,000 Employee Benefits 7,000 Total 25,000 Patient Services: Routine Care $40,000,000 500,000 Intensive Care 7,000,000 45,000 Obstetrics Services 4,000,000 35,000 Other Services 12,000,000 200,000 Total $63,000,000 780,000 Grand Total $63,000,000 805,000 75 50 140 3,500,000 3,000,000 $ 9,000,000 700 200 150 400 1,450 1,590 $18,000,000 6,000,000 4,000,000 8,000,000 $36,000,000 $45,000,000 6.7 Assume that the hospital uses the direct method for cost allocation. Furthermore, the cost driver for general administration is patient services revenue, the cost driver for maintenance is space utilization, and the cost driver for employee benefits is the number of full-time equivalent employees. a. What are the appropriate allocation rates? b. Use an allocation table similar to Exhibit 6.7 to allocate the hospital's overhead costs to the patient services departments. 6.8 Assume that the hosnital uses malom