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Multiple Payor Break - Even and Net Income Planning Madison Hospital provides outpatient screening services and charges the following payor sources: Assume that total fixed

Multiple Payor Break-Even and Net Income Planning Madison Hospital provides outpatient screening services and charges
the following payor sources:
Assume that total fixed cost in $2.600,000
a. Compute the net income before income tax based on the sales volume shown above.
b. Compute the break-even point in total dollars of revenue and in specific unit sales volume for each product.
Contribution margin per unit
Sales mix (as a%)
Weighted average contribution margin calculation:
Weighted average contribution margin
Break-even in weighted average units:
Break-even (in units)
Payor Source
Private Insurance
Medicare
Medicaid
Total break-even revenue:
c. Prove your break-even calculations by computing the total contribution margin related to your answer in requirment (b).
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