How many procedures would have to be performed to achieve the profit in the first year...
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How many procedures would have to be performed to achieve the profit in the first year IF ONLY Medicare patients were treated? Given the budgeted life span of the machine (5 years) what is the budgeted cost per procedure? Cost of a new Wizbang machine $250,000 Cost of capital 8% Life of the new machine 5 years Fixed cost per procedure on the new machine $10.50 per procedure Expected/Budgeted # of procedures per year 20,000 Profit goal for the first year $36,800 Present Value factors Use table on page 408 - table 18-4 Payer Mix & Reimbursement Rates Medicare -60% - $50/procedure Medicaid -30% - $48/procedure Self Pay - 10% - $120/ procedure How many procedures would have to be performed to achieve the profit in the first year IF ONLY Medicare patients were treated? Given the budgeted life span of the machine (5 years) what is the budgeted cost per procedure? How many procedures would have to be performed to achieve the profit in the first year IF ONLY Medicare patients were treated? Given the budgeted life span of the machine (5 years) what is the budgeted cost per procedure? Cost of a new Wizbang machine $250,000 Cost of capital 8% Life of the new machine 5 years Fixed cost per procedure on the new machine $10.50 per procedure Expected/Budgeted # of procedures per year 20,000 Profit goal for the first year $36,800 Present Value factors Use table on page 408 - table 18-4 Payer Mix & Reimbursement Rates Medicare -60% - $50/procedure Medicaid -30% - $48/procedure Self Pay - 10% - $120/ procedure Cost of a new Wizbang machine $250,000 Cost of capital 8% Life of the new machine 5 years Fixed cost per procedure on the new machine $10.50 per procedure Expected/Budgeted # of procedures per year 20,000 Profit goal for the first year $36,800 Present Value factors Use table on page 408 - table 18-4 Payer Mix & Reimbursement Rates Medicare -60% - $50/procedure Medicaid -30% - $48/procedure Self Pay - 10% - $120/ procedure
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To calculate the number of procedures needed to achieve the profit goal in the first year lets break down the relevant information Cost of a new Wizba... View the full answer
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