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The manager of the surgery department at a hospital which serves mostly Medicare patients. The hospital performs 1,000 surgical operations per year using the traditional method. The Medicare payment for a surgical operation using the traditional method is 2,250 dollars and the cost to the hospital per operation is 1,750 dollars. a) Compute the total revenue, the total cost, and the profit at the end of each year if the hospital continues to use the traditional method for surgical operations.b) You have the option to purchase a Robotic Surgery Machine to perform the surgical operations. The machine has a cost of 1,500,000 dollars, but the Medicare payment for a surgical operation using the Robotic Surgery Machine is 2,500 dollars and a surgical operation using a Robotic Surgery Machine has a lower cost per operation of 1,250 dollars. i) Compute the total revenue, the total cost, and the profit at the end of each year if the hospital performs the surgical operations with the Robotic Surgery Machine.ii) For simplicity, assume the life of the machine is three years. In addition, assume the opportunity cost of funds (interest rate) is 10% per year. Should the hospital buy the machine?
Suppose that in the Akerlof example, there are only eight cars ranging in quality from 1/4 to 2 (there is no complete lemon). Hence, the mean quality level is 1.125. Determine whether the market disappears completely, and if not, how many cars will b..
In recent years technological improvements have greatly reduced the cost of producing basic cell phones and a number of new firms have entered the cell phone industry. At the same time, prices of substitutes for cell phones, such as smart phones and ..
Suppose that Madelyn always divides her annual jewelry budget between earrings (good x) and necklaces (good y) such that she always spends 40% of her budget on earrings per year. Furthermore, the current price of a pair of earrings is $10, the curren..
explain the growth rates for japan and south korea. have their growth rates changed over time? when did they have
the study of government regulation and the competitive environment for business is relevant to all those who study
Decide the current productivity results for the non-farming business sector and the manufacturing sector. Discuss recent productivity and cost trends and make predictions for the future.
Returning to the duopoly of part (b),suppose Firm 1 abides by the agreement but Firm 2 cheats by increasing production. How many widgets will Firm 2 produce? What will be each firm"s profits?
The bar discovers that the customers for this promotion are not its usual clientele. Instead, the customers tend be politicians who consume an amazing amount of liquor.
1. suppose a banks balance sheet looks as followsnbspnbspnbspnbspassetsliabilitiesreservesnbspnbsp
the steel industry has been lobbying for high taxes on imported steel. russia brazil and japan have been producing and
what are the major factors that have affected u.s. household consumption since the recession in 2001?briefly explain
They argue that in most situations, we couldn't avoid nudging even if we wanted to, because whatever pol- icy we choose will contain some set of unconscious nudges and incentives that will influence people.
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