Eagan Family Practice.docx - Eagan Family Practice The case describes the four allocation methods for allocating the cost of 3 support

Eagan Family Practice.docx - Eagan Family Practice The case...

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Eagan Family Practice The case describes the four allocation methods for allocating the cost of 3 support departments (Administration, Facilities and Finance) to 3 patient service departments (Adult Medicine, Obstetrics and Pediatrics). The issue at hand is estimation of amount of services provided by the support departments to each other and to each patient service department. This will impact relative profitability of the
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Unformatted text preview: patient service departments depending on which method is used. Although reciprocal method is the most costly, conceptually it seems to be the most appropriate for allocating costs of support departments to the patient service departments and to each other....
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  • Fall '13
  • JeanCooper

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