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Use the following information to answer the questions: Memorial Hospital has three support departments and four patient services departments. The step-down method of cost allocation

Use the following information to answer the questions:

Memorial Hospital has three support departments and four patient services departments. The step-down method of cost allocation is required.
The direct costs to each of the support departments are
General Administration $2,000,000
Facilities $9,500,000
Financial Services $2,750,000
Department Patient Services Revenue Space (Square Feet) Housekeeping Labor Hours Salary Dollars
Support:
General Administration $- 9,000 6,000 $1,500,000
Facilities $- 15,000 22,500 $4,500,000
Financial Services $- 8,000 3,500 $1,200,000
Subtotal $- 32,000 32,000 $7,200,000
Patient Services:
Routine Care $45,000,000 125,000 225,000 $29,000,000
Intensive Care $65,000,000 60,000 165,000 $12,000,000
Diagnostic Services $25,000,000 75,000 80,000 $15,000,000
Other Services $6,000,000 40,000 25,000 $6,000,000
Subtotal $141,000,000 300,000 495,000 $62,000,000
Total $141,000,000 332,000 527,000 $69,200,000

Assume that the hospital uses salary dollars as the cost driver for general administration, housekeeping labor hours as the cost driver for facilities, and patient services revenue as the cost driver for financial services. (The majority of the costs of the facilities department stem from the provision of housekeeping services.)

What is the allocation rate for the General Administration cost pool?

What is the allocation rate for the Facilities cost pool?

What is the allocation rate for the Financial Services cost pool?

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