Question
5.5 The organization that you are interning with is considering starting a walk-in clinic. The financial projections from the first year of operations are as
5.5 The organization that you are interning with is considering starting a walk-in clinic. The financial projections from the first year of operations are as follows:
Revenues (10,000 Visits) | $400,000 |
Wages and Benefits | $220,000 |
Rent | $5,000 |
Depreciation | $30,000 |
Utilities | $2,500 |
Medical Supplies | $50,000 |
Administrative supplies | $10,000 |
Assume that all costs are fixed, except supply costs, which are variable.
You have been asked to complete the following:
Construct the clinics projected P&L Statement.
What number of visits is required to breakeven?
What number of visits is required to provide you with a profit of $100,000? A profit of $150,000? A profit of $200,000?
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