Phlexible Physical Therapy (PPT) is a not-for profit company that provides 1,050 PT sessions per month....

 

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Phlexible Physical Therapy (PPT) is a not-for profit company that provides 1,050 PT sessions per month. • 500 sessions are performed for commercially insured patients (i.e. Blue Cross) that pays on a fee for service basis. • 500 sessions are performed for patients that are members of an HM that pays PPT on a capitated basis • 50 sessions are provided to underserved patients free of charge as a community benefit • PPT's contract with the HMO covers 10,000 members and pays PPT $5 PMPM. Phlexible Physical Therapy (PPT)'s monthly fixed costs are $20,000 and the variable cost is $35 per session. You are in the process of renegotiating your contract with private insurers. What price do you need to charge to earn a monthly profit of $20,000? A. $50 B. $93.50 C. $53.50 O D. $188.50 Phlexible Physical Therapy (PPT) is a not-for profit company that provides 1,050 PT sessions per month. • 500 sessions are performed for commercially insured patients (i.e. Blue Cross) that pays on a fee for service basis. • 500 sessions are performed for patients that are members of an HM that pays PPT on a capitated basis • 50 sessions are provided to underserved patients free of charge as a community benefit • PPT's contract with the HMO covers 10,000 members and pays PPT $5 PMPM. Phlexible Physical Therapy (PPT)'s monthly fixed costs are $20,000 and the variable cost is $35 per session. You are in the process of renegotiating your contract with private insurers. What price do you need to charge to earn a monthly profit of $20,000? A. $50 B. $93.50 C. $53.50 O D. $188.50