Fixed Cost = $5,000,000 Variable Cost Per Patient Day = $500 Revenue Per Patient Day = $750 2013 Patient Days = 34,000
1. What are the total costs for the organization?
2. Is the hospital making a profit or loss? What is the profit/ loss?
3. What is the total contribution margin at 34,000 patient days?
4. What is the volume breakeven in patient days using the cost information given?