Reference no: EM132821363

Question -

PART 1 - Your facility has 2000 cases in the following payer mix: 40% commercial insurances

25% Medicare insurance

15% Medicaid insurance

15% liability insurance

5% all others, including self-pay

What are the proportions of the total cases for each payer?

PART 2 - The average Medicare rate for each case is $6,200. Use this as the baseline. Commercial insurances average 110% of Medicare, Medicaid averages 65% of Medicare., liability insurers average 200% of Medicare, and the others average 100% of Medicare rates.

1. Calculate the individual reimbursement rates for all 5 payers?

2. What is your expected Accounts Receivable?

PART 3 - Which of the following costs are fixed, which are variable, and which are direct or indirect:

Materials/supplies (gowns, drapes, bedsheets)

Wages (nurses, technicians)

Utility, building, usage exp (lights, heat, technology)

Medications

Licensing of facility

 Per diem staff

Insurances (malpractice, business, and so on)

PART 4 - Given the following costs per case:

Materials/supplies: $2,270

Wages: $2,000

Utility, building, usage exp: $1,125

Insurances (malpractice, business, and so on): $175

What is the total cost of all combined cases?

PART 5 - Calculate the difference between accounts receivable (A/R) and accounts payable (A/P).