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General Hospital (GH) is a 265-bed for-profit hospital. A freestanding satellite urgent care center is proposed by GH. Fixed costs (building and equipment depreciation, minimum
General Hospital (GH) is a 265-bed for-profit hospital. A freestanding satellite urgent care center is proposed by GH. Fixed costs (building and equipment depreciation, minimum staffing levels) are $700,000/ year. Variable costs (supplies and materials) per patient visit are assumed to be $30. The average price/charge per patient visit is $100. What number of patient visits per year will be necessary to break even?
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