Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A hospital is considering a new procedure to be offered at $200 per patient. The cost involved per year are patient meal $10, electricity bill

A hospital is considering a new procedure to be offered at $200 per patient. The cost involved per year are patient meal $10, electricity bill for operating air-condition in theatre room $25, surgical equipment $52,000 consultation fee for Doctor $20, ambulance $30,000, cleaning bed sheet for patient $10, salary of ambulance driver $1000, capital for medicine $15,000, taxes and municipal levy $2,000, and patient admission fee $35. 

What is the break-even quantity for this service? 

If the most pessimistic sales forecast for the proposed service were 1,500 patients, what would be the procedure’s total contribution to profit and overhead per year?

Step by Step Solution

3.39 Rating (161 Votes )

There are 3 Steps involved in it

Step: 1

WORKINGS The procedure of finding total contribution to profit and overhead per y... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managing Human Resources

Authors: Wayne F. Cascio

9th edition

78029171, 978-0078029172

More Books

Students also viewed these Accounting questions

Question

Why is the design of one's first permanent job so important?

Answered: 1 week ago