Budget	Actual
Inpatient Costs	$12,568,500	$16,618,350
Members	42,000	42,000
Admission Rate	0.07	0.095
Case Mix Index	0.9	0.85
Cost per Case (CMI = 1.0)	$4,750	$4,900

What dollar amount the total variance? Is this variance favorable or unfavorable? Why?

1. What dollar amount of the total variance is attributed to enrollment variance? Is this variance favorable or unfavorable? Why?
2. What dollar effect did the increased admission rate (utilization) have on cost? Is this variance favorable or unfavorable? Why?
3. The intensity of care delivered dropped from a budgeted case mix of 0.90 to an actual case mix of 0.85. What dollar effect did this have on actual costs? Is this variance favorable or unfavorable? Why?
4. Costs per case (efficiency) increased to $4,900 from a budgeted value of $4,750. This increased actual total costs by what amount? Is this variance favorable or unfavorable? Why?