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For this assignment, fill in the values for (a) through (m). Please show all of your calculations/ formulas. Any assignment submitted without calculations/ formulas will

For this assignment, fill in the values for (a) through (m). Please show all of your calculations/ formulas. Any assignment submitted without calculations/ formulas will result in a zero grade. See page 270 of your textbook for an example.

Assume Brothers hospital has three payer groups and the hospitals fixed costs are $38,000,000.

Payer Number of Admissions Average Revenue per Admission Revenue by payor Variable Cost per Admission Total Variable Costs Contribution Margin
Blue Cross 1,000 $6,000 (a) $3,000 (b) (c)
Medicaid 4,000 $4,500 (d) $4,000 (e) (f)
Medicare 8,000 $7,000 (g) $2,500 (h) (i)
Total 13,000 (j) (k) (l)

(m) - What is the hospitals profit?

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