For the following four problems, start with the price-setting example from the text. The initial assumptions are provided in the table below.

Total cost	$100,000
Total volume	1,000
Average cost	$100
Payer volumes
Medicare (payment rate = $95)	400
Medicaid (payment rate = $75)	100
Managed Care # 1 (payment rate = $110)	300
Managed Care # 2 (pay 80% of charges)	100
Uninsured (pay 10% of charges)	100
Total all payers	1,000
Desired net income	$5,000

Start with the original assumptions. The hospital is facing pressure from public-interest groups to control the prices it charges to the uninsured. Assume that the hospital is able through various efficiencies to cut its per-visit cost by 5%. It also negotiates a 7% increase with managed-care plan #1. Assuming all other factors are unchanged, what is the new required price?