Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Can someone please answer the questions of this sample case study? Thank you 270 SECTION ILI: FINANCIAL MANAGEMENT Case Study Cost/Benefit Analysis You are the

Can someone please answer the questions of this sample case study? Thank you
image text in transcribed
270 SECTION ILI: FINANCIAL MANAGEMENT Case Study Cost/Benefit Analysis You are the laboratory manager. The hospital administration wants to pene- trate the market and expand the business by performing Parathyroid Surgeries (reimbursement $15,000). They have enticed a prominent surgeon to join the staff He plans on scheduling four surgeries per week - two on Tuesday and two on Thursdays. Every case will need an intact Parathyroid Hormone (PTH) performed STAT during surgery. You currently send this test to your reference laboratory with a minimum 24-hour TAT. None of the analyzers currently in your lab are capable ofrunning this test. The best pricing you obtain is from Siemens Diagnostics for an Immulite 1000. The price of the analyzer is $75,000. The price of the test kit is $800 for 100 tests. The test requires three levels of controls run per 24 hours. The stability of the test kit once opened is eight weeks. Reimbursement for the test is $20. You realize that you will only be able to run on average 32 tests (patient reportable results) before discarding the reagent ($25 per test for reagent alone). Issues and Questions to Consider: 1. Would you bring the test in-house as per the physician's request? 2. What other departments need to be involved in developing this service 3. What assumptions should be made modifying the Chemistry operating budget? 4. What financial tools would be useful in justifying the addition of this test 5. Would further explanation be needed in justifying the addition of this tes t as addition does not appear to be warranted on its own merits

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Her Majestys Auditor An Adventure Novel With Steampunk Elements

Authors: Markus Pfeiler

1st Edition

164953339X, 978-1649533395

More Books

Students also viewed these Accounting questions