What would pinewood primary care clinics monthly revenue

Reference no: EM133336611

Question: Pinewood Primary Care Clinic is considering a capitated contract with a managed care organization which calls for the clinic to provide services for 1500 members at $100per member peer month (PMPM). Pinewood Primary Care Clinic's monthly fixed costs are $60,000. Variable costs are $200per visit. Utilization data provided by the managed care company indicates that historically, 5%of their patients have a primary care visit every month. What would Pinewood Primary Care Clinic's monthly revenue be from this managed care capitated arrangement?

Reference no: EM133336611

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