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borishaifa [10]
3 years ago
7

Oakwood Primary Care Clinic is considering a capitation arrangement with a managed care organization in which the clinic would p

rovide services to 1,500 members at $100 per member per month. Variable costs are projected at $200 per clinic visit, and fixed costs for the agreement are $800,000. What is the breakeven point in volume of clinic visits
Business
1 answer:
lutik1710 [3]3 years ago
6 0

Answer:

5000

Explanation:

Oakwood Primary Care Clinic is considering a capitation arrangement with a managed care organization in which the clinic would provide services to 1,500 members at $100 per member per month. Variable costs are projected at $200 per clinic visit, and fixed costs for the agreement are $800,000. Breakeven point in volume of clinic visits is 5000.

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