2. The Dietary Department of Morgan Memorial Hospital has direct costs of $450,000. The hospital's four patient services departments utilize the following amounts of space: Pediatric Unit 1,000 sq. ft. 2,000 sq. ft. 3,000 sq. ft. 4,000 sq. ft. Neurology Unit Oncology Unit Surgical Unit Assuming that the cost driver for dietary costs is the amount of occupied space, what is the allocation of dietary costs to the oncology unit?

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2. The Dietary Department of Morgan Memorial Hospital has direct costs of $450,000. The
hospital's four patient services departments utilize the following amounts of space:
Pediatric Unit
1,000 sq. ft.
2,000 sq. ft.
3,000 sq. ft.
4,000 sq. ft.
Neurology Unit
Oncology Unit
Surgical Unit
Assuming that the cost driver for dietary costs is the amount of occupied space, what is the
allocation of dietary costs to the oncology unit?
Transcribed Image Text:2. The Dietary Department of Morgan Memorial Hospital has direct costs of $450,000. The hospital's four patient services departments utilize the following amounts of space: Pediatric Unit 1,000 sq. ft. 2,000 sq. ft. 3,000 sq. ft. 4,000 sq. ft. Neurology Unit Oncology Unit Surgical Unit Assuming that the cost driver for dietary costs is the amount of occupied space, what is the allocation of dietary costs to the oncology unit?
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