Question

In: Finance

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

You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Number of visits 10,000 Utilities $ 2,500 Wages and benefits $220,000 Medical supplies $50,000 Rent $ 5,000 Administrative supplies $ 10,000 Depreciation $ 30,000 Assume that all costs are fixed except supplies costs, which are variable. a. What is the clinic’s underlying cost structure? b. What are the clinic’s expected total costs? c. What are the clinic’s estimated total costs at 7,500 visits? At 12,500 visits? d. What is the average cost per visit at 7,500, 10,000, and 12,500 visits?

Solutions

Expert Solution

jeff jeffy answered 1 year ago
Next > < Previous

Related Solutions

You are considering starting a walk-in clinic. Your financial projections for the first year of operations...
You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Revenues (20,000 visits) $1,000,000 Wages and benefits 400,000 Rent 20,000 Depreciation 50,000 Utilities 5,000 Medical supplies 100,000 Administrative supplies 20,000 Assume that all costs are fixed, except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 35 percent rate. 1) What is the breakeven number of visits? 2) What are the number of visits to...
You are considering starting a walk-in clinic. Your financial projections for the first year of operations...
You are considering starting a walk-in clinic. Your financial projections for the first year of operations are below. Revenue and variable costs are based on the projected number of visits. Medical and administrative supplies are variable costs; all other costs are fixed costs. Medical and administrative supplies are variable costs; all other costs are fixed costs. Projected Visits               12,000 Revenues $650,000 Wages & benefits 300,000 Rent 6,500 Depreciation 40,000 Utilities 4,200 Medical supplies 55,000 Administrative supplies 10,000 a. Construct...
You are considering starting a walk-in clinic. Your financial projections for the first year of operations...
You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Revenue (10000 visits) $383,255 Wages and benefit $206,036 Rent $5,288 Depreciation $31,123 Utilities $2,481 Medical supplies $50,702 Administrative supplies $9,964 Assume that all costs are fixed, except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 31 percent rate. What number of visits is required to provide you with an after-tax profit of $85,658?
. You are considering starting a walk-in clinic. Your financial projections for the first year of...
. You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Number of Visits 25,000 Utilities $4,500 Wages and Benefits $290,000 Medical Supplies $45,000 Rent $10,000 Administrative Supplies $10,000 Depreciation $40,000 Assume that all costs are fixed except supplies costs, which are variable. a. What is the clinic’s underlying cost structure? b. What are the clinics expected total cost? c. What are the clinic’s estimated total cost at 7,500 visits? At...
Your director has commissioned you to put together projections for a new ambulatory urgent care center. Your financial projections for the first year of operations are as follows
1. Your director has commissioned you to put together projections for a new ambulatory urgent care center. Your financial projections for the first year of operations are as follows:Number of Visits  10,000   Utilities$3,500Wages and Benefits$420,000  Medical Supplies$75,000Rent$8,000Administrative Supplies$11,000Depreciation$30,000Assume that all costs are fixed except supplies costs, which are variable.a. What is the clinic’s underlying cost structure?Insert your response here.b. What are the clinics expected total cost?Insert your response here.c. What are the clinic’s estimated total cost at 5,500 visits? At 10,500 visits?Insert your...
St Barnabas Hospital is opening a satellite office. Your financial projections for the first year of...
St Barnabas Hospital is opening a satellite office. Your financial projections for the first year of operations are as follows: Revenues (10,000)        $500,000 Wages and Benefits      $350,000 Rent                                   8,000 Depreciation                    50,000 Utilities                             4,500 Medical Supplies             70,000 Administrative Supplies 20,000 Assume that all cost are fixed except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 30 percent rate. Construct the clinics projected P & L statement. Insert your response here. What number of visit...
Suppose your current job pays you $250,000 a year. However, you are considering starting your own...
Suppose your current job pays you $250,000 a year. However, you are considering starting your own company. Based upon your research, you estimate your first year total revenue to be $6,500,000. There are however several costs of running the company during this first year, such as the cost of materials which will equal $1,800,000, employees who will receive in total $1,500,000, utilities which will cost $1,300,000, and rent that will be paid to the landlord that equals $1,700,000. Based on...
You are the nurse in a walk-in clinic. A.P. is being seen this morning for a...
You are the nurse in a walk-in clinic. A.P. is being seen this morning for a 2-day history of diffuse, severe abdominal pain. She has complaints of nausea without vomiting; she denies vaginal bleeding or discharge. A.P. reports having unprotected sex with several partners recently, two of whom had penile discharge. Her last menstrual period ended 3 days ago. She has no known drug allergies and denies previous medical or psychiatric problems. Vital signs are 108/60, 110, 20, 100.6 °...
Widget Inc. is just starting operations. Following are the first week’s financial transactions. Set up the...
Widget Inc. is just starting operations. Following are the first week’s financial transactions. Set up the ending B/S and the period I/S for Widget Inc. Sell $10,000 worth of common stock Buy 10 widgets for $100 Purchase $1,500 worth of equipment Sell 5 widgets at $150 each to Smith on credit Buy $10 widgets on credit from Jones Supply for $100 each Borrow $500 from National Bank and Trust Pay wages of $100 Pay federal tax of $20 Pay rent...
Starting from the front door of your house, you walk 60.0 m due east to a...
Starting from the front door of your house, you walk 60.0 m due east to a store, and then you walk 40.0 in the direction that is 30.0o south of west to a bench where you sit and read a physics book. For the entire trip starting from the front door of your house to the bench, what is your displacement vector? a) 72.1 m at 33.7o south of east b) 72.1 m at 56.3o south of east c) 32.3...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT