Let's say that you work for a doctor's office and have used the simple regression method and have calculated the following cost information regarding overhead -

Variable cost per patient seen - $70

Fixed costs for the month - $20,000

Average number of patients seen each month - 800

R-Square value - 0.897

Using that information, what is the average TOTAL overhead cost per patient seen ?

Using that same information from the previous question, if you charge 40% ABOVE your cost, what amount will you charge the average patient for overhead ?