Using the below information, answer the following questions:

Current census (number of residents) - 60

Empty beds - 40

Building rent - 30,000 month

Food - $12 per resident per day

Staffing - $75 per resident per day (this can be adjusted up and down with the SNF's census)

Price paid b a commercially insured or private pay resident - $012 per day

Medicaid rate for a day of patient care - $95

1. What is the average cost of caring for one patient for one day given the current census of 60 residents? (Hint: you'll need to divide building rent by the number of days in a month...assume 30... and the number of residents cared for each day. The food and staffing cost are already provided as per patient day amounts).
2. Is the accountant correct that Medicaid doesn't pay enough to cover your cost?
3. What would happen to your per-patient-day cost for rent if you had more residents?
4. What is the contribution margin for a commercially insured/self-pay resident?
5. What is the contribution margin for a medicaid patient?
6. How much are you currently losing each month at your current census level (60 private pay patients)?
7. How much would your total profit (or loss) be each month if you added a total of 10 Medicaid residents in addition to 60 private pay residents?.
8. How much would your profit (or loss) be each month if you added a total of 20 Medicaid residents in addition to 60 private pay residents?