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#11.Charity Hospital, a not-for-profit, has a maximum capacity of 15,000 discharges per year.Variable patient service costs are $495 per discharge.Variable general and administrative costs are
#11.Charity Hospital, a not-for-profit, has a maximum capacity of 15,000 discharges per year.Variable patient service costs are $495 per discharge.Variable general and administrative costs are $5 per discharge.Fixed hospital overhead costs are $4,000,000 per year.The current reimbursement rate is $1,000 per discharge.
What is the volume required to breakeven?
Choice:8,000 dischargesChoice:4,500 discharges Choice:3,700 discharges Choice:No discharges
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