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Assume that a radiologist group practice has the following cost structure: Fixed costs $549,976 Variable cost per procedure $26 Charge (revenue) per procedure $95 Furthermore,

Assume that a radiologist group practice has the following cost structure: Fixed costs $549,976 Variable cost per procedure $26 Charge (revenue) per procedure $95 Furthermore, assume that the group expects to perform 7,467 procedures in the coming year. Also assume that the practice contracts with one HMO, and the plan proposes a 17 percent discount from charges. What volume is required to provide a pretax profit of $106,863?

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