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1) Free Health Care Center (FH) charges each patient $5.50 (not quite free after all, but pretty close). Because rising costs, center has been forced to consider raising this charge to $6.00 or $6.50. If price goes up, fewer people will come to the center for care. At the price of= $6, only $18,000 patients are expected, and at price of= $6.50, there will likely be only 16,000 patient visits.

2) Make a flexible budget for FH at prices of= $5.50, $6.00 and $6.50. Variable cost per patient is $4, and fixed costs of operating center are= $32,000. They presently expect to have about 20,000 patient visits. What do you suggest clinic do? describe why?

3) You enter into the automatic savings plan with RBC where= $1250 is deducted from your paycheck at the ending of each quarter starting on March 31, 2014 (first payment) to December 31, 2019 (last payment). If account pays 8% (APR, monthly compounded), how much money is in account on December 31, 2019 (right after the last contribution)?

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