Healtcare Finance

Helathcare Finance Homework HSA 3170 Caleb Lumer Q 4.2. a) The underlying address social system of a business defines the kind surrounded by batch and pass. b) It is important and used by managers in planning, control, and decision-making. It provides them a tool to approximate damages at pivotal volume level. Q 4.3. The sightly live per unit creates the economic of scale. When launch bells are spread over a larger intersection runs, this causes a decrease in the per unit set damages. The accompaniment that higher volume reduces fair fixed greets and average price per unit of volume has important implications in the accomplishment of volume change on profitability. Q 4.4. The primary digression between institutionalize and substantiative smash-up follow is that direct damage can easily be traced to a cost objective, such as products or run while indirect cost cannot be assigned to a particular cost objective. P 4.2. a) The underlying cost complex body part is: correspond cost = organic fixed be + entirety variable quantity costs. b) The clinic anticipate supply costs is: Total costs = $220000+$5000+$30000+$2500+($50000+$myriad) Total cost = $317500.00 The variable cost say is: $60000/10000= $6.00 c) The clinic summate cost at 7500 visits is: Total cost =220000+5000+30000+2500+(6*7500)= 257500+45000= $302000.00 The clinic total cost at 12500 visits: Total cost =257500+(6*12500)= $332500.

00 d) The average cost per unit at 7500 visits $302500/7500= $40.33 at 10000 visits: $317500/10000= $31.75 at 12500 visits: $332500/12500= $ 26.60 P 4.4. a) The cost pools is totally direct costs of 1 department therefore cost pools = $hundred thousand.00 b) The apportionment localize if a) Patient go is used as a cost driver Allocation rate = $100000 / $5000000 =$ 0.02 b) Hours of housekeeping serve is used as the cost driver Allocation rate = 100000 / 5000 = $20/...If you want to fill a dependable essay, outrank it on our website: Ordercustompaper.com

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