3.Compute the contribution margin per patient days generated for the year ended June 30, 2020.

4.Calculate the minimum number of patient-days required for Pediatrics to break even for the upcoming year June 30, 2021.Assume that revenue per patient-day, cost per patient-day, cost per bed and salary rates for this upcoming year June 30, 2021, remain the same as for the year ended June 30, 2020.

5.Calculate the operating leverage ratio.

6.If demand for patient days are projected to increase from the 2020 current patient demand in 2021: 3% Calculate the increase in income using the operating leverage.

7.Make contribution income statement showing the projected 2021 revenue and costs if the demand for patient days increases in 2021 to the projected increase stated in #6.

8.Using the profit for end of year June 30, 2020 and June 30, 2021, calculate that the change in income between the two years in percentage terms.Your answer should equal the percentage change in #6.

9.Recommend to Pediatrics what they should proceed as the operations grow and have the ability to exceed the current capacity limits that Helping Hospital has put on Pediatrics. Include in your response on average how many beds Pediatrics is currently using daily and how much will this increase based on #6 projected increase in 2021. During the year ended June 30, 2020, Pediatrics the following relevant range of daily beds: 34 Explain why the relevant range is important to know and understand and how it impacts your recommendation.Assume a 365 day year.

AutoSave On . FS Project Info - Saved cristine ostrich CO X File Home Insert Design Layout References Mailings Review View Help Search Share Comments & Cut Find Calibri (Body) 11 ~ A" A Aa Ap AaBbCCD AaBbCcDd [A Copy AaBbCcDd AaBbCcDd AaBbCc AaBbCcD Aa B Replace Paste BIUab X X A LA 1 Normal 1 No Spac... Heading 1 Heading 2 Title Subtitle Subtle Em... Dictate Format Painter Select v Styles Voice Clipboard Font Paragraph Editing 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. Helping Hospital charged the following costs to Pediatrics for the year ended June 30, 2020. Patient Services Bed Capacity (Variable cost) Fixed Cost Dietary $600,00 Janitoria $63,600 Laundry 200,000 Laboratory 350,000 Pharmacy 257,000 Repairs and maintenance 30,000 General an administrative 1,300,000 Rent 1,500,000 Billings and collections 225,000 Total $1,632,00 $2,893,600 In addition to these charges from Helping Hospital, Pediatrics incurred the following personnel costs. Annual Salaries-these salaries are fixed Supervising nurses $120,000 Nurses 440,000 Assistants 150,000 Total $710,000 During the year ended June 30, 2020, Pediatrics charged the following per day to patients and generated the following annual revenue: $500 daily charge to patient for services $6,000,000 Total Revenues + Page 1 of 1 58 words " Focus - - 100% X 5:32 PM w 10/4/2020 10