Break-Even Tutorial Walkthrough This exercise requires that you calculate the profitability of implementing a new information system specifically an electronic medical records wtem installed in a group of physican's offices. Use the templine and the following facts to conduct a break-even analysis to determine: system costs, system beretts, net annual benefits, break even totals, net present value, and internal rate of return for the Scenario Information You are interning e (physician's office, which is part of a physician's group. The group is thinking about implementing an ectronic medical record (EMR) system in all of their offices and because of your Exce sks learned during your college coursework, you have been asked to create a break-even analysis that will help the physicians decide wplementing this particular system will be financialy beneficial to the Costs The physician's greve consists of 15 offices and the plan is to install the system in three offices in 2013, five offices in 2020, and the remaining offices in 2021 There is a one time installation cost of $102,000 per office in the year of nation The annus operating costs will be $23,000 for each office with a system installed Benefits . The physician's group will who benefit hom federal meaningfut une payments designed to Incentivize the adoption of EMR systems. Each physician in the group will be eligible for 56,000 Each office has 2 physicians Each physicians patients 220 days per year. They will improve efficiencies in assessing and treating patients so that each physician will be able to see one mere patient each day. Each additional patient will increase revenue by an rage of $110 . The Rate 10% Cetation The break-even analysis will cover a 4-year period from 2019-2022. For each year Calculate the system casts and benefits Calculate the net benefits of the system and the break-even totals for the system. Breas even totals are simply the accumulated net benefits. The project breaks even when the accumulated net bereits value is positive for the total 4-year period Calculate the net present value (NPV) of the investment using a rate of 10% Calculate the internal s Break Even Structure Your break-Even Ansys wil contain the following sections Verabres this section is where all fixed values given to you in the instructions are stored. The ently calcuated values in this section is running total of offices with systems in row 4 300-Break Eves Tynorial Wasthrough " . Costs this section uses the variables related so systems costs to calculate the total costs that wi be required to implement and operate the EMR system Senefits this section uses the variables related to settem benefits to calculate the alb anticipated from the implementation of the EMR Steak Even NPV, and Calculations this section calculates simple break-even totals, present value, and the internal rate of return for the project that will indicate the relative financial value of going forward with the projec You could use the previous information to construct spreadsheet break-ever analysis, but instead, would you to use the template, Break Even Tutorial Templete xx, included with this wou and the instructions so that everyone is working from the same initial structure Complete the Template Starting in the template at the top and work down You can format the cell values immediately or wait until the end, but the example figures that follow will show the formatted versions. All counts (physicians, business days, etc) should be in the Number format with no decimal places All monetary values should be in the Accounting format with no decimal places. The NPV rate should be in the Percentage format with no decimal paces and the i should be in the Percentage format with two decimal places Enter the variables provided in the Scenario above in the colored cells of the variables section of the Next, calculate the running total of offices with systems installed you use the function -SUMISCS C3 in cell C4 you will be able to copy that formula into cels D, E, and F. The cop formulas I maintain the locked reference to Cl as the starting cell of the sum function, but shit the end cell to next year to include all installations up to that year