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Breakeven Analysis ) You are asked to project the feasibility of opening a new outpatient clinic. Using the assumptions below, answer each question. ?? Assumptions FFS visits per year ? 36,000 Revenue per visit ? $25 Costs: ? ? Wage and benefits $365,000 Medical supplies ? 65,000 Depreciation ? 125,000 Utilities ? 110,000 ??Marketing ?125,000 a. What line item(s) represent fixed costs? Why?

b. What line item(s) represent variable costs? Why?

c. What is the number of visits needed to breakeven? Show your calculations.

d. What is the number of visits needed to obtain a profit of $200,000? Show your calculations.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92319926

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