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The finance director of St. James hospital estimates that on average 33% of its revenue equals its variable cost. Fixed costs are budgeted at $24
The finance director of St. James hospital estimates that on average 33% of its revenue equals its variable cost. Fixed costs are budgeted at $24 million per year. If their budget predicts a volume of business of 30,000 patient-days next year, what is the average daily revenue per patient (rounded to two digits) for St. James to breakeven? |
A. | $800.00 | |
B. | $1,194.03 | |
C. | $65,753.42 | |
D. | $2.424.24 | |
E. | $536.00 |
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