break even analysis, Business Management

Assignment Help:
4.Laurie Vaden is a nurse practitioner with her own practice. She has developed contracts with several large employers to perform routine physical, fitness for duty exams, and initial screening of on-the-job injuries. She currently sees 150 per month, charging 450 per visit. Her total costs are $7,500, of which $1,500 is for supplies. She has decided that she needs to increase profit, so she is considering raising her fee to $65. She expects to lose 10 percent of her business to competitors that charge an average of 460 per visit. Determine her current and predicted: 1) revenues, 2) variable costs, and 3) total contribution margin. What do you recommend she do? Why?
5.Janet Gilbert is director of labs. She has some extra capacity and has contracted with some small neighboring hospitals to run some of their lab tests. She has recently had a study conducted and has determined that her costs of these contracts are $10,000 of which $7,000 are for supplies and items related to each test. She currently charges an average of $10,00 per lab test. She is thinking of lowering her price by 20 percent in hopes of raising her current volume of 10,000 tests by 15 percent. Determine her current and predicted: 1) revenues, 2) variable costs, 3) total contribution margin, and 4) net income. What do you recommend she do? Why?
6.Shady Rest Nursing Home has 100 private pay residents. The administrator is concerned about balancing the ratio its private pay to non-private pay patients. Non-private pay sources reimburse an average of $100 per day whereas private pay residents pay average 100 percent of full daily charges. The administrator estimates that variable cost per resident per day is $25 for supplies, food, and contracted services and annual fixed costs are $4,562,500. ?What is the daily contribution margin of each non-private pay resident?
?If 25 percent of the residents are non-private pay, what will shady Rest charge the private pay patients in order to break even?
?What if non-private pay payors cover 50 percent of the residents?

7.The owner of Shady Rest Nursing Home insists that the facility earn $80,000 in annual profits. How much must the administrator raise the per day charge for the privately insured residents if 25 percent of the residents are covered by non-private pay payors?


Related Discussions:- break even analysis

Innovation in business management, I have an assignment as a report writing...

I have an assignment as a report writing and ppt in which I need to present new idea and write report on same. Can you make that assignment for me ? you need to develop a new busin

Proposal to shift focus from one product to another , Proposal to Shift Foc...

Proposal to Shift Focus from One Product to Another in a Company The new proposal by marketing team to shift focus to offering products that are niche in nature by virtue of r

Introduction to business organization-management, Introduction Ernst ...

Introduction Ernst & Young (EY) is one of the major business organizations in the world that offers professional services to the customers in more than 140 countries. It is a

Explain the different instruments of monetary policies, Question 1 Write a...

Question 1 Write a note on the following Socialistic economy Capitalistic economy Question 2 Explain the different instruments of Monetary Policies Question

The business environment & corporate culture, Assessment Task 1 Graduat...

Assessment Task 1 Graduate Skills Workshop - Academic Writing. Students will be given a paraphrasing and Summarizing task to be done in class, during the tutorial period and

Explain integrated management of integration, Question 1 i) Consider tw...

Question 1 i) Consider two organisational environment in which one of the organisation is having no or little communication between departments and the other organisation where

Write advantages and disadvantages of structuring a deal., Write advantages...

Write advantages and disadvantages of structuring a deal.

What are barriers of communication, QUESTION a) (i) Elaborate on the...

QUESTION a) (i) Elaborate on the importance of feedback. (ii) Explain how it helps to enhance effective communication. b) (i) What are barriers of communication?

Principles for capturing the value of global outsourcing, Explain the princ...

Explain the principles for capturing the value of global outsourcing. Principles for capturing the value of global outsourcing - opportunities derived by outsourcing - Five

Assignement, Explain the different delivery styles that speakers can select...

Explain the different delivery styles that speakers can select for their presentation.

Write Your Message!

Captcha
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