Assignment Exercise 17″\ufffd1: Variance Analysis\t\u00a0\tGreenview Hospital operated at 120% of normal capacity in two of its departments during the year. It operated 120% times 20,000 normal capacity direct labor nursing hours in\u00a0routine services and it operated 120% times 20,000 normal capacity equipment hours in the laboratory. The lab allocates overhead\t\t\tSet up a worksheet for applied overhead costs and volume variance with a column for Routine Services Nursing and a second column for Laboratory.\tSet up a worksheet for actual overhead costs and budget variance with a column for Routine Services Nursing and a second column for Laboratory\t\t\tSet up a worksheet for volume variance and budget variance totaling net variance with a column for Routine Services Nursing and a second column for Laboratory.\tAssignment Exercise 17″\ufffd2: Three-Level Revenue Forecast\t\u00a0\tAssumptions: for the base level (most likely) revenue forecast, assume $200 per procedure times 4 procedures per day times 5 days’ equals 20 procedures per week times 50 weeks per year equals 1,000 potential procedures per year.\tFor the best case revenue forecast, assume an increase in volume of one procedure per day average, for an annual increase of 250 procedures (5 days per week times 50 weeks equals 250). (The best case is if the practice gains a particular managed care contract.)\tFor the worst case revenue forecast, assume a decrease in volume of 2 procedures per day average, for an annual decrease of 500 procedures. (The worst case is if the practice loses a major payer.)\tAudiologists were designated as “eligible for physician and other prescriber incentives”\ufffd as discussed elsewhere. Thus the new service line was a logical move.\tAssignment Exercise 17″\ufffd3: Target Operating Income\t\u00a0\tAcme Medical Supply Company desires a target operating income amount of $100,000, with assumption inputs as follows:\t\t\t“\ufffd\u00a0Desired (target) operating income amount = $100,000\t\t\t“\ufffd\u00a0Unit price for sales = $80\t\t\t“\ufffd\u00a0Variable cost per unit = $60\t\t\t“\ufffd\u00a0Total fixed cost = $60,000\tCompute the required revenue to achieve the target operating income and compute a contribution income statement to prove the totals.\tAssignment Exercise 18″\ufffd1: Estimate of Loss\t\u00a0\tYou are the practice manager for a four-physician office. You arrive on Monday morning to find the entire office suite flooded from overhead sprinklers that malfunctioned over the weekend. Water stands ankle-deep everywhere. The computers are fried and the contents of all the filing cabinets are soaked. Your own office, where most of the records were stored, has the worst damage.\tAssignment Exercise 18″\ufffd2: Estimate of Replacement Cost\t\u00a0\tThe landlord carries contents insurance that should cover the damage to the furnishings, equipment, and to the computers, and the insurance company adjuster will come tomorrow to assess the furnishings and equipment damage. However, your boss is sure that the insurance settlement will not cover replacement costs. Consequently, you have been instructed to prepare an estimate of what has been lost and\/or damaged plus an estimate of what the replacement cost might be. How would you go about it? What would your summary of these losses look like?\t\u00a0\tAssignment Exercise 18″\ufffd3: Benchmarking\t\u00a0\tReview the chapter text about benchmarking.\tRequired\t\u00a0\t\t\tSelect an organization: either from the Case Studies in\u00a0Chapters 27″\ufffd28\u00a0or from one of the Mini-Case Studies in\u00a0Chapters 29″\ufffd31.\t\t\tPrepare a list of measures that could be benchmarked for this organization. Comment on why these items are important for benchmarking purposes.<\/p>\n","protected":false},"excerpt":{"rendered":"
Assignment Exercise 17″\ufffd1: Variance Analysis \u00a0 Greenview Hospital operated at 120% of normal capacity in two of its departments during the year. It operated 120% times 20,000 normal capacity direct labor nursing hours in\u00a0routine services and it operated 120% times Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-222962","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/222962","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=222962"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/222962\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=222962"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=222962"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=222962"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}