Question: I HAVE THE ANSWER FOR THE FIRST TWO QUESTIONS. JUST NEED ANSWER TO QUESTION 3. PLEASE SHOW WORK SO I CAN SEE HOW TO ARRIVE
I HAVE THE ANSWER FOR THE FIRST TWO QUESTIONS. JUST NEED ANSWER TO QUESTION 3. PLEASE SHOW WORK SO I CAN SEE HOW TO ARRIVE AT THE CORRECT ANSWER.
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Methodist Medical Center (MMC) offers inpatient critical care and is currently partnered with an insurance company to take care of 15,000 members. The insurance company is reimbursing MMC by fee-for-service and the average reimbursement rate is $10,000 per admission. Financial information of MMC is as the following: Average revenue per admissionS10,000 Average variable cost per admission S 4,000 Direct fixed cost or overhead $9,000,000
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