Question
USE THE DATA BELOW TO ANSWER QUESTION 8 Cherry Community Hospital has three service (support) centers: Administration, Housekeeping and Finance, and three mission centers: Medicine,
USE THE DATA BELOW TO ANSWER QUESTION 8
Cherry Community Hospital has three service (support) centers: Administration, Housekeeping and Finance, and three mission centers: Medicine, Surgery and Pharmacy. Administration provides the most services to other departments followed by Housekeeping and then Finance. The results of a step-down cost allocation for Cherry Community Hospital are presented below:
Total Administration Costs Allocated to:
Housekeeping $2,000
Finance $1,000
Medicine $4,000
Surgery $5,000
Pharmacy $2,000
Housekeeping Costs Allocated to:
Finance $1,000
Medicine $4,500
Surgery $8,000
Pharmacy $2,500
Finance Costs Allocated to:
Medicine $7,000
Surgery $9,000
Pharmacy $3,000
Calculate the dollar value of the original cost pools for Administration, Housekeeping, and Finance.
Administration cost pool is ; Housekeeping cost pool is ; Finance cost pool is .
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