A surgery center specializes in high-risk cardiovascular surgery. The center needs to forecast its profitability over the next three years to plan for capital growth projects. For the first year, the hospital anticipates serving 1,300 patiens, which is expected to grow by 9% per year. Based on current reimbursement formulas, each patient provides an average billing of 125,000, which will grow by 4% each year. However, because of managed care, the center collects only 25% of billings. Variable costs for supplies and drugs are calculated by 10% of billings. Fixed costs for salaries, utilities, and so on will amount to 20,000,000 in the first year and are assumed to increase by 4% per year. Develop a spreadsheet model to predict the net present value of profit over the next three years. Use a discount rate of 4%

Complete the table and please show how the formulas with results on Excel for a thumbs up <3

	Collection %
	Variable Cost %
	Discount Rate
Growth Rates
	Patients Served	Average Billing	Collected Amount	Variable Costs	Fixed Costs	Total Collected	Total Costs	Total Profit
Year 1	1300
Year 2
Year 3
NPV