The Dental Services department of Our Town Community Health Center provides 3 services: Routine examinations, cleanings, and fillings.

The fully allocated (total ) costs in 2021 for the Dental Services Department were $800,000. Information on the services performed in 2021 are listed in the table below.

Service	# Procedures	Total Charges Billed	Total Revenues
Exams	2,000	400,000	$300,000
Cleanings	3,000	225,000	$170,000
Fillings	700	210,000	$210,000

The Dental Services Department Manager just found out about another way to estimate their service costs: the RVU Method.

Exams have an RVU of 1.25

Cleanings have an RVU of 0.75

Fillings have an RVU of 2.5

How many RVUs did the Dental Services Department produce in 2021?

What is the cost per RVU?

Using the RVU method, how much of the Dental Services Departments Fully allocated costs were due to performing exams, cleanings, and fillings? (i.e. total costs for each of those services)

What were their costs per exam, per cleaning, and per filling?

How do the costs estimated using the RVU method compare to the costs estimated using CCR? Which method do you recommend they use.