You are the manager of the Lyndon Outpatient Clinic which is operated by a medium-sized medical center. The administrator of the facility has informed you that the Board of Directors is currently considering the purchase of an MRI (magnetic resonance imaging) device to enhance the diagnostic services that the hospital provides. The administrator has given you the following information:

You need to develop a proposal that includes a financial breakdown of startup costs and projected income and expenses for five years.

You need to include a break-even analysis.

The cost of the MRI, computers, software and the renovations will be debt financed over five years.