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7.2 The Audiology Department at Randall Clinic offers many services to the clinic's patients. The three most common, along with cost and utilization data, are

7.2 The Audiology Department at Randall Clinic offers many services to the clinic's patients. The three most common, along with cost and utilization data, are as follows:

Service Variable cost per service Annual Direct Fixed cost Annual Number of Visits

Basic Examination $5. $50,000 3,000

Advanced Examination 7 30,000 1,500

Therapy Session 10 40,000 500

Assume that these services must make a combined profit of $25,000. Now, what is the fee schedule? (To answer this question, assume that the profit requirement is allocated in the same way as overhead costs.)

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