Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

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.

Your balance sheet / Excel spreadsheet (showing all calculations) should include:

  1. Total gross patient revenue
  2. Deductions from gross patient revenue
  3. Total deductions
  4. Net patient revenue
  5. Total expenses
  6. Excess of revenues over expenses

Please show work in excel!

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

Called To Account Financial Frauds That Shaped The Accounting Profession

Authors: Paul M. Clikeman

3rd Edition

1138327085, 9781138327085

More Books

Students also viewed these Accounting questions

Question

How should Disney manage their global diversity?

Answered: 1 week ago