1.The North Kingstown Cancer infusion therapy division expects tremendous growth over the next year and is projecting the following cost and rate structure for the service.

Revenues $900 per patient

Costs

Rent$4,200 per month

Staff$220,000 per month

Leases$15,000 per month

Other Fixed Costs$30,000 per month

Pharmaceuticals$700 per patient

Intravenous Supplies$45 per patient

Other Patient Supplies$35 per patient

a)What volume of patients per month will it take for the centre to break even?

b)What is the break-even point in dollars?

c)If the clinic needs to make a profit of $85,000 per month, what is the new break-even point in volume per month?

d)If the clinic needs to make a profit of $85,000 per month, what is the new break-even point in revenue?