Assume that you are the manager of a 30-bed medical unit in an acute care hospital. The total fixed costs of your unit are $18,000 per day. The variable costs of your unit are approximately $1000 per patient per day, at the typical level of patient acuity generally observed on your unit. Using these data, answer the next question. What is the total cost of care for each patient for each day of care if your unit has 50% occupancy?

a. $1200 b. $120 c. $9000 d. $2200