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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
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
| 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?
- What dollar amount of the total variance is attributed to enrollment variance? Is this variance favorable or unfavorable? Why?
- What dollar effect did the increased admission rate (utilization) have on cost? Is this variance favorable or unfavorable? Why?
- 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?
- 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?
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Accounting Information Systems Controls And Processes
Authors: Leslie Turner, Andrea B Weickgenannt, Mary Kay Copeland
4th Edition
1119577810, 9781119577812
