What is the breakeven number of procedures

Assignment Help Financial Management
Reference no: EM131045335

Assume a Cardiology private practice has the following cost structure:

Fixed cost = $400,000

Variable cost per procedure = $30

Assume the group expects to perform 8,000 procedures this year

What is the group’s underlying cost structure? ______________________________

What is the group’s expected total costs? ___________________________________

What would the estimated costs be of:

5,000 procedures? __________________________

10,000 procedures? ___________________________

What is the average cost per procedure at 5,000, 8,000 and 10,000 procedures?

5,000 = ______________________________

8,000 = ______________________________

10,000 = _____________________________

What is the breakeven number of procedures they must do if they set their price at $200 per procedure?

Reference no: EM131045335

Questions Cloud

Monetary solutions for the present financial crisis : Review the materials in Chapter 14 of the textbook Money and Banking by Robert E Wright and Vincenzo Quadrini April 2009. Answer these questions: Suggest monetary solutions for the present financial crisis. Discuss if the solutions are always applica..
What is the yield to call for this bond : Fooling Company has a 12.2 percent callable bond outstanding on the market with 25 years to maturity, call protection for the next 5 years, and a call premium of $25. What is the yield to call (YTC) for this bond if the current price is 110 percent o..
Financial managers are interested in present value : Financial managers are interested in Present Value because A)They need to determine the appropriate rate of interest to charge on loans to customers B)They need to accurately determine the future payoff of an investment
Use duration to estimate the new price of the bond : Consider a 8.60 percent coupon bond with twelve years to maturity and a current price of $953.90. Suppose the yield on the bond suddenly increases by 2 percent. Use duration to estimate the new price of the bond. Calculate the new bond price.
What is the breakeven number of procedures : Assume a Cardiology private practice has the following cost structure: What is the group’s underlying cost structure? What is the group’s expected total costs?  What is the average cost per procedure at 5,000, 8,000 and 10,000 procedures? What is the..
How mime deals with new or system-specific image : Consult the MIME RFC to find out how MIME deals with new or system-specific image and text formats.
Overcoming the more powerful nationalist chinese : Why was Mao Zedong successful in overcoming the more powerful Nationalist Chinese during the Civil War of 1928-49? What weaknesses of the Nationalists did he exploit? What strengths did the Chinese Communists possess?
How might a general-purpose request/reply protocol address : How might a general-purpose request/reply protocol address this?
Creation of nunavut in northern canada : Pick one of the groups discussed in this week's chapter (Canada's first peoples, theInnuof Labrador, thePimickamakCree, the Dene etc.) and provide the background on the environmental and issue(s) facing this group. What do you think of the creat..

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd