Does this look right so far? How do I find the contribution margin and budgeted profits?

1 CHAPTER 8: FINANCIAL PLANNING & BUDGETING 2 Homework 3.4, Chapter 8 3 4 Chelsea Clinic projected the following budget information for 2021: 5 6 TotalFFS Visits Volume 70,000 visits 7 Payer Mix 8 Blue Cross 60% 9 Highmark 40% 10 Reimbursement Rates: 11 Blue Cross $45 per visit 12 Highmark $50 per visit 13 Variable Costs 14 Resource Inputs: 15 Labor 0.7 total hours 16 Supplies 1.3 total units 17 Resource Input Prices: 18 Labor $22.00 per hour 19 Supplies $1.25 per unit 20 Fixed Costs $800,000 21 22 Using Exhibit 8.3 as a guide (excluding the capitated numbers since payers in this 23 homework problem are allFFS) construct Chelsea Clinic's operating budget for 2021, 24 including projections for volume, revenues, costs, and a P&L statement 25 26 27 Volume 28 Blue Cross 42000 29 High Mark 28000 30 Total Bugeted Visits 70000 31 32 33 Revenues 34 Blue Cross $1,890,000 35 High Mark $1,400,000 36 Total Budgeted Revenues $3,290,000 37 38 39 Costs 40 Variable Costs 41 Labor $15.40 42 Supplies $1.63 43 Total Variable Costs $17.03 44 Variable Cost Per Visit $0.00024 45 Fixed Costs $800,000 46 Total Budgeted Costs $800,017.03 47 48 $3,290,000 $3,290,000 49 Profit and Loss 50 Revenues 51 FFS 52 Total Revenue 53 Costs 54 Variable 55 Contribution margin 56 Fixed Costs 57 Budgeted Profits 58 59 $17.03 $800,000