it is problem 5.9 I need help in

variable cost rate of capitation payment of tes that the population $100,000? 5.9 Grandview Clinic has fixed costs of $2 million and an average variable $15 per visit. Its sole payer, an HMO, has proposed an annual capitation $150 for each of its 20,000 members. Past experience indicates that the served will average two visits per year. a. Construct the base case projected P&L statement on the contract. b. Sketch two CVP analysis graphs for the clinic-one with number of visits on X-axis, and one with number of members on the x-axis. Compare and contrast these graphs with the one in problem 5.6, part d. C. What is the clinic's per-visit contribution margin on the contract? How does this value compare with the value in problem 5.6, part b? d. What profit gain can be realized if the clinic can lower per-member utilization to 1.8 visits? 5.6 Assume that a radiology group practice has the following cost structure: $500,000 Fixed costs Variable cost per procedure Charge (revenue) per procedure 25 100 Furthermore, assume that the group expects to perform 7,500 procedures in the coming year. a. Construct the group's base case projected P&L statement. b. What is the group's contribution margin? What is its breakeven point in num- ber of procedures)? What volume is required to provide a pretax profit of $100,000? A pretax profit of $200,000? Sketch out a CVP analysis graph depicting the base case situation. Now, assume that the practice contracts with one HMO for all 7,500 procedures and the plan proposes a 20 percent discount from charges. Answer questions a, b, c, and d again under these conditions. Ceneral Hospital, a not-for-profit acute care facility has the following coct structure