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The University of Michigan Health System (UMHS) owns two helicopters and a small plane to provide emergency medical transportation services. Matt Myers, head of financial
The University of Michigan Health System (UMHS) owns two helicopters and a small plane to provide emergency medical transportation services. Matt Myers, head of financial management at UMHS, is trying to decide whether outsourcing emergency medical transportation services to Michigan Rescue Flight Inc. would be financially beneficial for UMHS. He has asked for your help with this analysis. Which of the following information is relevant for making this decision? Select one: a. Salary and benefit information of the pilots and flight attendants on staff at UMHS b. Patient revenues lost as Michigan Rescue Flight Inc. may transport some patients to other hospitals in the area rather than flying them to UMHS (as UMHS? own emergency medical transportation services would have done) c. Cost of fuel needed to operate the helicopters and planes d. Differential administrative overhead costs allocated to the emergency medical transportation department e. All of the above
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