Determine the amount of net operating income that would result for a hospital whose payer mix and expected volume (100 cases) is as follows:

25 Medicare cases pay $2,500 per case

30 Blue Cross cases pay $2,700 per case

20 commercial cases pay 100% of charges

10 Medicaid cases pay $1,500 per case

10 self-pay cases pay 100% of charges

5 charity cases pay nothing

Average cost per case is expected to be $2,700, and the average charge per case is $2,500.

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