Your investigation determines that in August he treated 7 type X patients with an average cost of

Question:

Your investigation determines that in August he treated 7 type X patients with an average cost of $4,300 and 11 type Y patients with an average cost of $9,000. In September, he treated 8 type X patients and 10 type Y patients. Costs in September for his patients were $5,000 for type X and $8,700 for type Y. Although the August cost for type X patients had risen, Eger points out that costs for the higher-volume, higher-cost type Y patients had fallen. Develop a case-mix variance and a cost variance so we can better understand the impact on HOS of the changes in Dr. Eger’s practice from August to September. What other information would be of interest in this particular case?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Financial Management for Public, Health and Not-for-Profit Organizations

ISBN: 978-1506326849

5th edition

Authors: Steven A. Finkler, Daniel L. Smith, Thad D. Calabrese, Robert M. Purtell

Question Posted: