Question: please show how you got everything carefully with steps and also explain if the $49.50 per visit has an effect. The Center for Holistic Medicine

please show how you got everything carefully with steps and also explain if the $49.50 per visit has an effect.
The Center for Holistic Medicine is losing money each month. The leadership of the center brainstormed and agreed that they should introduce a new service to the community. Beginning next month, the Center of Holistic Medicine would begin providing colonics to cleanse out bad toxins that harm an individual's spirit and state-of-mind. The new service will generate an additional 1,250 patient visits per month. The added visits will generate only $49.50 per visit. The new service will increase variable expenses across the board by 5%. (** = Variable Expenses). What are the marginal cost, marginal revenue, and marginal benefit of the new product line? (15 Points) Current Position (Monthly) REVENUE: Patient Revenues Billable Patient Visits $357,500 6,620 EXPENSES: Nurse Salaries and Benefits ** Support Staff Salaries ** Support Staff Benefits ** MIS ** Laboratory ** Radiology ** Consumable Medical Supplies Building and Occupancy Furniture and Fixtures Administration Supplies and Equip. Liability Insurance Premiums Consulting Professional Fees Promotion and Marketing ** Interest Expense Business and Property Insurance Recruiting ** Other Operating Expenses Total Expenses: $189,031 $85,000 $17,500 $4,000 $15,600 $3,214 $15,000 $22,000 $5,578 $3,000 $2,175 $2,616 $1,150 $500 $900 $2,800 $1,936 $372,000 NET INCOME ($14,500) Englism)Step by Step Solution
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