This assignment has two parts. Read each part carefully. Both assignments should have a total of 750-1000 words. Part 1 Read the following scenario and complete a breakeven analysis. Assuming $500,000 of initial investment (capital and labor), an average payer reimbursement level of $5,000 per procedure, and an average variable cost per procedure of $4,100, what is the breakeven point in the number of procedures? If we performed 55 procedures per month, how long would it take to make this procedure pay off financially? BE = FC ÷ CM BE = breakeven point FC = Fixed Costs CM = Contribution Margin per unit (Price per unit–Variable Costs per unit)
Determine a strategic initiative that a created healthcare facility of your choosing is trying to achieve and address the following points: 1. Analyze whether the strategic initiative is still working, and if the organization is making progress towards its vision. 2. Describe how the organization is achieving the level of financial condition required to continue to invest in key clinical areas. 3. Explain whether or not expansion is needed based on evaluation.
4. Compare and contrast how the organization’s performance compares in key areas to others.
5. Explain in detail how this evaluation affects patient-centered care positively and/or negatively.