The housekeeping services department of Southcoast Health, a multispecialty

medical practice, had $$100,000$ in direct costs in $2020.$ These costs must be

allocated to Southcoast's three revenue$-$producing patient services departments

using the direct method. Two cost drivers are being considered: $(1)$ patient

services revenue generated, and $(2)$ housekeeping services used. The patient

services departments generated $$5,000,000$ in total revenues during $2020,$ and

to support these clinical activities, a total of $5000$ hours of housekeeping services

were utilized.

a$.$ What is the total value of the cost pool?

b$.$ What is the allocation rate if:

i$.$ Patient services revenue is used as the cost driver?

ii$.$ Hours of housekeeping services is used as the cost driver?