Please include the solutions/formulas for all required parts.

E4-24. Make or Buy L01, 2, 3 Rashad Rahavy M.D., is a general practitioner whose offices are located in the South Falls Pro- O fessional Building. In the past, Dr. Rahavy has operated his practice with a nurse, a receptionist/ secretary, and a part-time bookkeeper. Dr. Rahavy, like many small-town physicians, has billed his patients and their insurance companies from his own The part-time bookkeeper, who works 10 hours per week, is employed exclusively for this purpose. North Falls Physician's Service Center has offered to take over all of Dr Rahavy's billings and collections for an annual fee of $12,000. If Dr. Rahavy accepts this offer, he will no longer need the bookkeeper. The bookkeeper's wages and fringe benefits amount to $15 per hour, and the bookkeeper works 50 weeks per year. With all the billings and collections done elsewhere, Dr. Ra havy will have two additional hours available per week to see patients. He sees an average of three patients per hour at an average fee of S30 per visit. Dr. Rahavy's practice is expanding, and new patients often have to wait several weeks for an appointment. He has resisted expanding his office hours or working more than 50 weeks per year. Finally, if Dr. Rahavy signs on with the center, he will no longer need to rent a records storage facility for $100 per month Required Conduct a relevant cost analysis to determine if it is profitable to outsource the bookkeeping