Statistics budget: forecasting encounters. Instead of its current forecast, ZMG Hospital- ist Practice now estimates that it will not obtain a major HMO contract, and its encounters for July through December are expected to rise by only 1.5% a month from the previous year. Assuming these are the only changes to Exhibit I.1a, prepare a new forecast of the number of encounters that will be made by commercial patients during the whole year. EXHIBIT 1.1a CALCULATION OF NUMBER OF ENCOUNTERS BY PAYOR TYPE FOR THE COMING YEAR Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total Total encounters 5,007 4,676 5,044 4,686 4,480 4,596 4,697 4,833 4,653 4,923 4,734 5,202 57,531 for 20x1a Projected growth 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% Total encounters 5,257 4,910 5,296 4,920 4,704 4,826 4,932 5,075 4,886 5,169 4,971 5,462 60,408 for 20X2 a From the organization's internal records. EXHIBIT 1.1b DISTRIBUTION OF ENCOUNTERS BY PAYOR AND ENCOUNTER TYPE Medicaid/ Self-Pay Commercial Medicare Total Admissions 9% 14% 2% 25% Follow-up 27% 42% 6% 75% 100% Total 36% 56% 8% Note: From the organization's internal records