What is the difference between the two A/R rates above? Can you collect it from the patient? What happens to the difference?
Which of the following costs are fixed, which are variable, and which are direct or indirect:
Materials/supplies (gowns, drapes, bedsheets)
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Utility, building, usage exp (lights, heat, technology)
Medications
Licensing of facility
Per diem staff
Insurances (malpractice, business, and so on)
Calculate the contribution margin for one case (in $) with the following costs for this period, per case
Materials/supplies: $2,270
Wages: $2,000
Utility, building, usage exp: $1,125
Insurances (malpractice, business, and so on): $175
Using the above information, determine which is fixed and which cost is variable. Then, calculate the breakeven volume of cases in units for this period.
Suppose you want to make $150,000 profit between this period and next period to fund an expansion to the NICU. How many cases would you have to see? At what payer mix would this be optimal?
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