St. Payne Med Center is using the step-down method to allocate costs. They have two support departments (Record Keeping and Cleaning), and two patient service departments (Eye Care and Dental Care). Some of the Record Keeping costs are allocated to Cleaning before the support department costs are allocated to patient service departments. Record Keeping costs are allocated based on the number of employees, while Cleaning costs are allocated by the number or rooms. The following data has been collected:

	Support Departments	Patient Revenue Departments
	Record Keeping	Cleaning	Eye Care	Dental Care
Department Costs	$140,000	$370,000	$540,000	$990,000
Number of Employees	8	6	10	12
Number of rooms	4	3	4	6

a. What amount of the Record Keeping is allocated to Cleaning? $________________

b. What amount of the Record Keeping is allocated to Eye Care? $________________

c. What amount of the Record Keeping is allocated to Dental Care? $________________

d. What amount of the Cleaning is then allocated to Eye Care? $________________

e. What amount of the Cleaning is then allocated to Dental Care? $________________

f. After Allocation, What are Eye Care's total costs? $________________

g. After Allocation, What are Dental Care's total costs? $________________

Answer rating: 100% (QA)

St Payne Med Center Cost Allocation Heres the breakdown of StPayne Med Centers cost allocation using ... View the full answer