Using the same numbers as we will calculate using the Step$-$Down Method. In this example, it has been determined to step$-$down Facilities expenses to the rest of the support departments and to the direct or patient service areas.

Using the Step$-$Down Method for this problem. Facilities has a total cost pool of $$1,800,000.$ The cost driver has been determined to square footage. What would be the new allocation rate be for facilities? $($Hint: round to the second decimal place$)$

Question $8$Select one or more:

a$.$

$$5\mathrm{.}63$ per square foot

b$.$

$$4\mathrm{.}515$ per square foot

c$.$

$$3\mathrm{.}358$ per square foot

d$.$

$$75,000,000$ dollars