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Hospital XYZ currently receives $7,500 from Medicare for patients assigned DRG 341 (appendectomy). Management knows that the average length of stay for this DRG is
Hospital XYZ currently receives $7,500 from Medicare for patients assigned DRG 341 (appendectomy). Management knows that the average length of stay for this DRG is 3.2 days and their average cost per day is $2,300. They implemented a new surgical technique that reduced the average length of stay for this DRG to 2.9 days. What is the hospital s profit for this DRG before and after the change in the surgical technique
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