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What is the operating leverage ratio based on information from the the following attachment? Helping Hospital operates a general hospital but rents space to separately
What is the operating leverage ratio based on information from the the following attachment?
Helping Hospital operates a general hospital but rents space to separately owned entities rendering specialized services such as pediatrics and psychiatry. Helping Hospital charges each separate entity for patients' services (Meals and laundry) and for administrative services (billings and collections). Space and bed rentals are fixed charges for the year, based on bed capacity rented to each entity. Heli Hos tal char ed the followi Patient Services anable cost costs to Pediatrics for the year ended June 30, 2019. Bed Capacity Fixed Cost Dieta Janitorial Laund Laborato Pharmac Repairs and maintenance General and administrative Rent Billings and collections Total S560 ooo 300 ooo 410 000 300 ooo 250,000 ooo 30,000 1 500 ooo In addition to these char es from Hel ing Hospital, Pediatrics incurred the following personnel costs. Supemsing nurses Nurses Assistants Total Annual Salariesthese salaries are fixed S100,ooo 420 ooo 180 ooo $700,000 During the year ended June 30, 2019, Pediatrics charged the following and had the following relevant days: $500 daily charge to patient for services Total Revenues 36 Relevant Range of daily beds
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