break even point

deqkia

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Joined
Feb 6, 2009
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The price of the service will be set at $65 per visit. One full-time nurse position can provide a maximum of 120 one-hour visits
per month. If the service is contracted, the agency plans to pay the contract nurses at the
rate of $45 per visit including the cost of supplies. If the agency hires the nurses, the monthly salary will be $4,000 and the
agency plans on spending an average of $10 per client per visit for supplies.
Regardless of the method of service delivery (direct or contract) and regardless
of the number of nurses hired, the agency plans to charge (allocate)
$4,000 per month in indirect costs to the visiting nurse program.
Compute four annualized BEPs assuming the following: (1) the service is
contracted, (2) one full-time nurse is hired, (3) two full-time nurses are hired, and
(4) three full-time nurses are hired. What are the four BEPs? Why do these BEPs
differ?
 
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deqkia said:
The price of the service will be set at $65 per visit. One full-time nurse position can provide a maximum of 120 one-hour visits
per month. If the service is contracted, the agency plans to pay the contract nurses at the
rate of $45 per visit including the cost of supplies. If the agency hires the nurses, the monthly salary will be $4,000 and the
agency plans on spending an average of $10 per client per visit for supplies.
Regardless of the method of service delivery (direct or contract) and regardless
of the number of nurses hired, the agency plans to charge (allocate)
$4,000 per month in indirect costs to the visiting nurse program.
Compute four annualized BEPs assuming the following: (1) the service is
contracted, (2) one full-time nurse is hired, (3) two full-time nurses are hired, and
(4) three full-time nurses are hired. What are the four BEPs? Why do these BEPs
differ?
DUPLICATE POST:
http://www.justanswer.com/questions/1bt ... ixth-month
 
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