County Community Clinic is made up of 5 departments: 3 Service Line (revenue generating) departments - Adult Health, Child Health and Mental Health. They also have 2 support departments - Administration and Finance. The Direct Costs for the 5 Departments are: Administration Finance Adult Health Child Health Mental Health Here is some other data on the County Community Clinic Departments Department FTE Visits Administration Finance Adult Health Child Health 3 2 $400,000 $100,000 $1,000,000 $400,000 $100,000 10 8 Behavioral Health 2 10,000 4,000 1,000 Revenue $3,000,000 $1,000,000 $200,000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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County Community Clinic is made up of 5 departments: 3 Service Line (revenue
generating) departments - Adult Health, Child Health and Mental Health. They also
have 2 support departments - Administration and Finance.
The Direct Costs for the 5 Departments are:
Administration
Finance
Adult Health
Child Health
Mental Health
Finance
Adult Health
Child Health
Here is some other data on the County Community Clinic Departments
Department
FTE
Visits
Administration
3
2
$400,000
$100,000
10
8
Behavioral Health 2
$1,000,000
$400,000
$100,000
10,000
4,000
1,000
Revenue
$3,000,000
$1,000,000
$200,000
Transcribed Image Text:County Community Clinic is made up of 5 departments: 3 Service Line (revenue generating) departments - Adult Health, Child Health and Mental Health. They also have 2 support departments - Administration and Finance. The Direct Costs for the 5 Departments are: Administration Finance Adult Health Child Health Mental Health Finance Adult Health Child Health Here is some other data on the County Community Clinic Departments Department FTE Visits Administration 3 2 $400,000 $100,000 10 8 Behavioral Health 2 $1,000,000 $400,000 $100,000 10,000 4,000 1,000 Revenue $3,000,000 $1,000,000 $200,000
County Community Clinic uses # of Visits as the cost driver to allocate their
Finance department costs among the service line departments.
What is the allocation rate for Finance Costs and how much of the Finance
Costs will be allocated to Adult Health, to Child Health and to Behavioral
Health?
Choose the best answer.
A. Can not tell from the information provided
B. $0.15 per visit; $1,500; $600; $400
OC. $0.15 per visit; $66,670; $26,668; $6,667
D. $6.67 per visit; $10,000; $40,000; $10,000
E. $10 per visit; $10,000; $40,000; $10,000
F. None of these
G. $6.667 per visit; $66,670; $26,668; $6,667
Transcribed Image Text:County Community Clinic uses # of Visits as the cost driver to allocate their Finance department costs among the service line departments. What is the allocation rate for Finance Costs and how much of the Finance Costs will be allocated to Adult Health, to Child Health and to Behavioral Health? Choose the best answer. A. Can not tell from the information provided B. $0.15 per visit; $1,500; $600; $400 OC. $0.15 per visit; $66,670; $26,668; $6,667 D. $6.67 per visit; $10,000; $40,000; $10,000 E. $10 per visit; $10,000; $40,000; $10,000 F. None of these G. $6.667 per visit; $66,670; $26,668; $6,667
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