Consider a hospital that is introducing a new service anticipated to have 1,025 patient visits per year at an average cost of $2,200 and average billed charges of $4,500. Determine the amount of gross revenue, contractual deductions, net patient revenue, and net operating income that would result given the payer mix and terms shown below.
Consider a hospital 

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Payer Type Medicare Medicaid Payers with a hospital contract Payers without hospital contract Self-pay Patients Charity Care Patients Estimated # of Payment per Case Patients Additional Data Needed (from above): Anticipated new patients: Average cost: Average billed charges: $ 350 $ 175 $ 320 $ 90 65 25 $ 1025 1025 2,200.00 4,500.00 2,000.00 1,750.00 3,100.00 95% of billed charges 10% of billed charges Payer Type Medicare Medicaid Payers with a hospital contract Payers without hospital contract Self-pay Patients Charity Care Patients Estimated # of Payment per Case Patients Additional Data Needed (from above): Anticipated new patients: Average cost: Average billed charges: $ 350 $ 175 $ 320 $ 90 65 25 $ 1025 1025 2,200.00 4,500.00 2,000.00 1,750.00 3,100.00 95% of billed charges 10% of billed charges

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