Reference no: EM131096742
Cost, Payment and Profit Analysis
Submit written responses to these questions.
1. Discuss the four major concerns of using the cost-to charge ration method.
2. What is the relationship between the concepts cost allocation basis as used in the step-down method and cost driver as used in ABC?
3. What is the difference between a cost object's direct cost and its fully allocated cost? Give an example.
4. What are the advantages and disadvantages of ABC relative to the step-down method of cost allocation?
5. Name the units of service on which cost-based payers may pay providers.
6. How do copayments and deductibles reduce risk?
7. Why do providers desire "steerage"?
8. Who bears the risk under a flat is system? Why?
9. How do HMOs uses determine their premiums?
10. If an HMO covered 150,000 lives, expected 25 myocardial infarctions (MI) to occur each year within the covered lives, would expect a length of stay of 4.5 days for each MI, and had to pay an average of $950 per day for each day the MI patient was in the hospital, what would the PMPM cost of the HMO be? What would have to be charged to the patient/employer if the HMO had administrative costs equaling 10 percent of its costs and it wanted a profit margin of 7 percent?
|
Categories of entrepreneurship
: Describe all the categories of entrepreneurship based on the expertise, skills and specialization.
|
|
Marginal cost curve from pollution
: Firm S produces steel with a cost function cS(s,x) = s^2 + 10 − (12x − x^2), where s is units of steel and x is units of a pollutant that is a byproduct of steel production. Another firm F produces fish with a cost function cF(f,x)=3f^2+fx,where f is..
|
|
Question regarding the cupcake business
: In your spare time, you and your team mates have gotten really good at making gourmet cupcakes and everyone who's tasted your stuff says you should go into business, because it tastes much better than anything out there now! You seem to have a kn..
|
|
Explain to the adult the purpose of your observation
: Explain to the adult (parent or caregiver) the purpose of your observation and how the information you gather will be used. Get permission to tape-record the child's interactions with others. Set a time and date for the observation. Review informa..
|
|
How do copayments and deductibles reduce risk
: How do copayments and deductibles reduce risk? Why do providers desire "steerage"? Who bears the risk under a flat is system? Why? How do HMOs uses determine their premiums?
|
|
The bank from which the fed bought the securities
: Consider an open market purchase by the Fed of $16 billion of Treasury bonds. What is the impact of the purchase on the bank from which the Fed bought the securities?
|
|
Develop a paper that discuss financial standing of your bank
: Develop a comprehensive paper, discussing the financial standing of your bank. You will access the financial actuals. That is, historical financial data for the past five years for the Wells Fargo bank, as well as your bank's competitor.
|
|
When inflation occurs some economic agents gain-some lose
: When inflation occurs some economic agents gain and some lose. Who would gain and lose if deflation occurs? Why? What will happen to interest rates and investment according to Keynesian and Classical/ Monetarist theories? Is inflation still a possibl..
|
|
How should immigration law be reformed
: How should immigration law be reformed? Does the United States have any ethical duties to undocumented (illegal) aliens who come here to work? How can the law be fair and balance the rights of immigrants, their families, the companies that employ the..
|