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Make or Buy Rastad Rahany, MD , is a general practitioner whose offices are located in the South Falls Professional Building. In the past, Dr
Make or Buy
Rastad Rahany, MD is a general practitioner whose offices are located in the South Falls Professional Building. In the past, Dr Rahavy has operated his practice with a nurse, a receptionistsecretary and a parttime
boofeeper. Dr Rahuyy. like many smalltown physicians, has billed his patients and their insurance companies from his own office. The parttime bookkeeper, who works hours per week, is employed exclusively for ths
purpose.
Nort Fats Physician's Service Center has offered to take over all of Dr Rahayy's billings and collections for an annual fee of $ If Dr Rahavy accepts this offer, he will no longer need the bookkeeper. The bookkeeper $
wages and fringe benefits amount to $ per hour, and the bookkeeper works weeks per year. With all the billings and collections done elsewhere, Dr Rahavy will have two additional hours available per week to see
patie ta He sees an average of three patients per hour at an average fee of $ per visit. Dr Rahavy's practice is expanding, and new patients often have to wait several weeks for an appointment. He has resisted expand
his fice hours or working more than weeks per year. Finally, if Dr Rahavy signs on with the center, he will no longer need to rent a records storage facility for $ per month.
Conqugr a releart cost analysis to determine if it is profitable to outsource the bookkeeping.
Cata fre the net advantage disadvantage of outsourcing the bookkeeping,
Use a necutive sien with your answer to indicate a net disadvantage, if applicable.
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