Question

What are some methods hospials to allocate costs and manage resources

Answer 1

Methods of cost allocation are

1.direct cost allocation- technique for charging the cost of service departments to other parts of a business

2.step-down allocation- allocates service cost to the operating departments and ither service departments.

3.reciprocal method-allocates service department costs in both directions.

Methods of managing resources are

1.resource allocation

2.resource scheduling

3.resource laveling

4.resource smoothing

5.resource forcasting