Multiple Choice
Eldercare One, Two and Three are managed as a profit centers by the parent company. Revenues were $1,200,000, $500,000 and $300,000, respectively, and patients numbered 270, 80 and 50, respectively. Insurance costs of $625,000 are allocated to each center based on number of patients. Eldercare Two would be allocated cost of:
A) $156,250.
B) $208,333.
C) $125,000.
D) $80,000.
Correct Answer:
Verified
Correct Answer:
Verified
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