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iren [92.7K]
3 years ago
15

You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows:

Business
1 answer:
enot [183]3 years ago
7 0

Answer:

a.  clinic's projected P&L statement.

Revenues                                  400,000

Less Expenses:

Wages and benefits               (220,000 )

Rent                                             (5,000 )

Depreciation                             (30,000 )

Utilities                                        (2,500 )

Medical supplies                      (50,000)

Administrative supplies            (10,000)

Net Income or (loss) before tax 182,500

Income tax at 30%                     (54,750)

Income or (loss)                          127,750

b. 9,184 visits

c. 12,125 visits

Explanation:

Fixed Costs = 220,000 + 5,000 + 30,000 + 2,500 + 54,750

                    = $312,250

Contribution = Sales - Variable Costs

                     = $400,000 - ($50,000+$10,000)

                     = $340,000

Contribution per unit = $340,000 / 10,000 visits

                                   = $34

Break even point = Fixed Costs / Contribution per unit

                             = $312,250 / $34

                             = 9,184 visits

Units for a Profit target = Fixed Costs + Target Profit / Contribution per unit

                                      = ($312,250 + $100,000) / $34

                                      = 12,125 visits

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Explanation:

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. For a certain item, the cost-minimizing order quantity obtained with the basic EOQ model is 200 units, and the total annual in
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Answer:

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Which economic goal is a major one of command economies?
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Answer:

the answer is equity.

Explanation:

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4 years ago
Manson Industries incurs unit costs of $8 ($5 variable and $3 fixed) in making an assembly part for its finished product. A supp
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Answer:

Manson will incur a loss of $10,300 by buying the part.

Explanation:

Purchases = 10,300 * $6 = $61,800

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<u>Details               Make ($)           Buy ($)         Net ($) </u>

Purchase                  0                  61,800          61,800

Variable              51,500                   0              51,500

Fixed                  30,900              30,900        <u>     0    </u>

Loss                                                                  <u> 10,300   </u>

Therefore, Manson will incur a loss of $10,300 by buying the part.

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