End of Chapter Problems Page 150
5.2 The Audiology Department at Randall Clinic offers many services to the clinic’s patients. The three most common , along with cost and utilization data, are as follows:
Service Variable cost per service Annual Direct Fixed cost Annual Number of Visits
Basic Examination $5. $50,000 3,000
Advanced Examination 7 30,000 1,500
Therapy Session 10 40,000 500
b. What is the fee schedule for these services, assuming that the goal is to cover only variable and direct fixed cost?