How to improve allocation of support service costs.
Better accounting for support service costs at outpatient facilities involves distinguishing between fixed and variable expenses, then creating separate budgets for them. To simplify this step, financial managers can create a surrogate, such as the number of patient visits, to represent service activity. Once this is completed, separated costs are allocated by using criteria that recognize short-term and long-term service use.
Hogan
A J
AJ
College of Human Medicine, Michigan State University, East Lansing.
Marshall
R M
RM
D002017:Budgets; D003361:Cost Allocation / Q000379:methods*; D003365:Costs and Cost Analysis / Q000379:methods*; D006748:Hospital Departments / Q000191:economics*; D008500:Medical Records Department, Hospital / Q000191:economics; D014481:United States