Problemsmile alot dental sad provides three basic service, Ask an Expert

Accounting

Problem:

Smile Alot Dental (SAD) provides three basic service appointments; Cleaning, Check-up, and Full service. Total annual costs average $840,000. An RVU analysis indicates the following: Annual Average Appointments RVUs/appointment Cleaning 2,500 12 Check-ups 5,000 10 Full Service 2,500 16

Required:

Question 1: Using RVU methodology, what is the cost for each type of appointment?

Question 2: If the goal is a 25% profit margin, what should be the price for each type of appointment?

Note: Show supporting computations in good form.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91168978

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