St. Benedict’s Hospital has three support departments and four patient services departments. The direct costs to each of the support departments are:
Assume that the hospital uses the step-down method for cost allocation, with 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. Assume also that the general administration department provides the most services to other support departments, followed closely by the facilities department. The financial services department provides the least services to the other support departments.
Given these data, what percentage of the general administration department costs will be allocated to the facilities department?
(Do not round intermediate calculations. Enter your final answer as a percentage, omit the “%” sign in your response, and round your answer to 2 decimal places. For example, 0.12345 or 12.345% should be entered as 12.35.)
