Download Break-Even Analysis Case Study: Fertility Clinic Viability and more Exams Nursing in PDF only on Docsity!
Week 5: Break-even Analysis
Assignment
Submit Assignment Due Sunday by 11:59pm Points 100 Submitting a file upload Available Feb 24 at 12am - Apr 27 at 11:59pm 2 months
Purpose
The purpose of this assignment is to provide learners with the opportunity to develop break-even-analysis skills. Week 5 Break Even Analysis Assignment and Guidelines (Links to an external site.)Links to an external site. Due Date: Sunday 11:59 p.m. MT at the end of Week 5 Students are given the opportunity to request an extension on assignments for emergent situations. Supporting documentation must be submitted to the assigned faculty. If the student's request is not approved, the assignment is graded and a late penalty is applied as follows: Monday = 10% of total possible point reduction Tuesday = 20% of total possible point reduction Wednesday = 30% of total possible point reduction If the student's request is approved, the student will be informed of the revised due date. Should the student fail to meet the revised due date, the assignment is graded and a late penalty is applied as follows:
Monday = 10% of total possible point reduction
anesthesiologists, APNs, staff nurses and other staff salaries, specialty equipment, other miscellaneous) —paper has the exact total: https://www.coursehero.com/file/14887625/Order76004-Break- Even-Analysis- Calculations-for-Nurse-Executive/ Variable costs: $500/patient visit (specialty equipment, oxygen supplies, other miscellaneous)
Clinic days: Monday-Saturday—312 days/year Projected patient visits per year: 7488 Patient charges by patient acuity category: o Simple (15%)---------$2,000/visit o Moderate (60%)- - - -$6,500/visit o Complex (25%)-----$10,000/visit
- Describe your approach to this Case Study. In addition to the numbers given, what do you need to know before you can calculate the break-even analysis?
- Perform the calculations needed for the break-even analysis. Show all your work. After you've completed the calculations, record your results in the appropriate place in the table. Key points for calculations When performing calculations, standard rounding rules apply. If the number to the right of the decimal is less than 0.5, round down to the nearest whole number, e.g., 33.4 = 33 If the number to the right of the decimal is 0.5 or greater, round up to the nearest whole number, e.g. 33.5 =34. Read the question carefully. Pay close attention to the units be asked and keep them consistent. For example, days vs months vs years; charges vs contribution margin; dollars vs percentage Provide ALL formulas with references. Designate which formula associates with which source. It is not sufficient to simply list the source at the beginning of the section. Write out the formula used BEFORE filling in the numbers. Formulas used should be taken from one of the required resources for this course. Example: Total Contribution Margin (CM) = Contribution margin (CM) category 1 + CM cat 2 + CM 3 Leger, J.M. & Dunham-Taylor, J. (2018). Financial management for nurse managers: Merging the heart with the dollar, 4 th^ Ed. Burlington, MA: Jones- Bartlett. Break-even Analysis Data Table Acuity Category Percentage % Charge per Visit Visits per Year Charges per Year Visits per Day Charges per Day Contribution Margin
Complex 25% $10, Expected Total Daily Charges Expected Total Daily Revenue Break Even point in days Break Even point in visits
- How many patient visits are expected per day?
- What is the contribution margin of each category of patient?
- Based on the data and your calculations, what is the expected daily revenue?
- How long (in days, months, or years) will it be before the return on investment begins?
- How many patient visits will be required to reach the break-even point?
- Discuss your analysis. Is the project viable and profitable service? Does the analysis support moving forward with the business? Cite specific data from you[r] analysis to support your interpretation.
9:20pm/April 1 March 5, 2019: Kitchen Creative spaces full amount, $2M April 2, 2019/Tuesday—7:09am: Profitability analysis —tells you how much money the money that you’ve invested is earning ROI (%) = Net profit x 100 Investment [original cost] Example: Bought $1, sell $ = ROI is 100% Car purchase: $1200 Sell for: $ Net profit =
$600 ROI = $600 x 100 $ Loss
Ch. 7 p. 167: electronic health record (odd location). Budget spreadsheet, man-hours contract, PTO, … not sure if I need this chart [actual, budget, var%, prio, statistic]
Erin Lindley_NR630_Dr. Borre_wk p. 171 glossary of terms basically summarizes this chapter: benefit expense; non- productive man-hours, productive man-hours, variance analysis, variance report
So the word break-even comes up, but there’s no reference to acuity noted in the chart for completion??? p. 148 legislative memo ## 12:20pm miracle, really: April 2, 2019/Tuesday “Break-Even Analysis Calculations for Nurse Executive” Student’s Name Institution’s Name Course Title and Number Instructor Date “Break-Even Analysis Calculations for Nurse Executive” “This case study for the break-even analysis is a clinic for the Outpatient Fertility, which is to have $9,788,000 as a fixed cost. This amount includes the set- up costs, the cost to hire physicians in the specialty and even the costs to hire the anesthesiologists. Other values will be used to hire nurses and assist in paying salaries. Section of the cash will also be utilized to buy the technological equipment for the fertility as well as the miscellaneous items. The health center will also have $500 as a variable cost for every visit of a patient. The clinic will operate from Monday to Saturday with expected 7,488 visits per year. The following charges will be levied on every visit of a patient according to the categories of the acuity: $2000 for the simple patient (15%), $6500 for the moderate patient (60%), and $10000 for the complex patient (25%). … “The contribution margin per patient visit lets you know the cash that after [sic] will remain after the variable expenses are covered. Each patient visit under Simple category will contribute $1,500 toward outpatient fertility clinic fixed cost of $9,788,000 per visit while a patient under Moderate and Complex group provides $6,000 and $9,500 per visit toward the same respectively. After the $9,788,000 of fixed cost has been covered the Clinic profit will increase $1,500, $6000 and [grayed out] …. Probably $9,500???
different paper
[AUTHOR] 11
