Recommended size is built and running

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Assume that an observation unit of your recommended size is built and running and that the hospital experiences the same flow rates as in 2011. Ignoring the fixed costs of constructing and equipping the room, what would be the benefit (in dollars/day) to the hospital for having the observation unit relative to status qua? Also, assume that all of the inpatient beds that were formerly filled by observation patients can now be filled by inpatients, who stay on average 5.8 days, and net the hospital $3,500 each.

Reference no: EM132363681

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