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2. Appalachia Area Clinic provides primary care services. They offer 2 types of services: routine office visits and complex office visits. You have performed a

2. Appalachia Area Clinic provides primary care services. They offer 2 types of services: routine office visits and complex office visits. You have performed a review of last years financials using the RVU method and have determined the average fully allocated total cost (not including any profit target) for Appalachia Area Clinic to provide each routine office visit is $100 and $175 per complex office visit.

AAC serves 2 patient populations: Medicaid and Self pay who pay out of pocket at the time of service.

Medicaid

Self-Pay

Service

# Visits

Price Paid

# Visits

Price Paid

Routine Office Visits

1500

$50

3500

?

Complex Office Visits

300

$90

700

$200

How much does AAC need to charge self-pay patients for a routine office visit to break even?

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