- Describe at least three ways a for-profit healthcare firm can increase equity. Include brief examples of each. Use the following information to answer questions 3, 4, and 5: 2- You have been asked to establish a pricing structure for radiology on a per-procedure basis. Present budgetary data is presented below:

Budgeted Procedures	$10,000
Budgeted Cost	$400,000
Desired Profit	$80,000

3- It is estimated that Medicare patients comprise 40 percent of total radiology volume and will pay on average $38.00 per procedure. Approximately 10 percent of the patients are cost payers. The remaining charge payers are summarized below:

Payer	Volume %	Discount %
Blue Cross	20	4
Unity	15	10
Kaiser	10	10
Self-Pay	5	40
	50%

4- What rate must be set to generate the required $80,000 in profit in the preceding example? 5- If the forecasted volume increased to 12,000 procedures and budgeted costs increased to $440,000, while all other variables remained constant, what price should be established?

6- Assume that the only change in the original example data is that Blue Cross raises their discount to 20 percent. What price should be set? 7-You wish to retire a $10,000,000 bond that can be called in 5 years for 110 percent of par value, or $11,000,000. You also need to make year-end interest payments of $700,000 per year in each of the next five years. If you can invest money at 8 percent, how much money must you set aside today to meet these obligations?