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Residents in an underserved central florida areas

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Reference no: EM131152780

We are investigating the purchase of a new mobile primary care van to use in screening residents in an underserved Central Florida areas. The van will last for 5 years and costs $68,000. We will pay for the acquisition and maintenance of the van partially from foundation grants and partially from receipts from the county health department. The county has agreed to reimburse us $15 for each patient it screens using the new van. We expect to serve 800 patients per year with the van. It will cost $3,000 per year to maintain the vehicle, and includes all relevant costs. We use a discount rate of 5 percent.

How much will we need in foundation grants this year to make the purchase break-even financially?

Reference no: EM131152780

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