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Given the table below, describe how the eight-physician practices differ from smaller practices. Sole Practitioner % of Total 3-Physician Practice % of Total 8-Physician Practice

Given the table below, describe how the eight-physician practices differ from smaller practices.

Sole

Practitioner

% of

Total

3-Physician

Practice

% of

Total

8-Physician

Practice

% of

Total

Average
Salaries $340,000 69.4% $1,160,000 72.7% $3,500,000 75.3% 74.2%

Supplies

45,000 9.2% 150,000 9.4% 420,000 9.0% 9.1%
Rent 75,000 15.3% 210,000 13.2% 490,000 10.5% 11.5%
Other 30,000 6.1% 75,000 4.7% 240,000 5.2% 5.1%
Total Expense $490,000 100.0% $1,595,000 100.0% $4,650,000 100.0% 100.0%

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