San Juan Health Department’s dental clinic projects the following costs and rates for the year 20XX.
|
Total fixed costs |
$175,000 |
|
Variable costs |
$48 per patient |
|
Charges |
$150 per patient |
a. Using this information, determine the break-even point in patients.
b. Using this information, determine the break-even point in dollars.
c. Graph this scenario in a break-even chart using a range of 0 to 3,500 patients in 500-patient increments.
d. If the clinic decides it would like to make a profit of $5,500, what is the new break-even point in patients?
e. If the clinic decides it would like to make a profit of $5,500 at 1,770 patients, what is the new break-even point in dollars?