Question: Bend-Me-Straight (BMS) is considering a capitated agreement with a comprehensive care for joint replacement program that would provide $200 per patient per year for 100

Bend-Me-Straight (BMS) is considering a capitated agreement with a comprehensive care for joint replacement program that would provide $200 per patient per year for 100 patients. If BMS wants to make a $2000 profit on the program and if fixed costs are $5000, MBS just keep variable costs per patient under what amount in order to make the desired profit?

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