Your financial projections for the first year of operations are as follows: – savvyessaywriters.net | Savvy Essay Writers
Your financial projections for the first year of operations are as follows: – savvyessaywriters.net | Savvy Essay Writers
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1. You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows:Number of visits 10,000Wages and benefits $220,000Rent $5,000Depreciation $30,000Utilities $2,500Medical supplies $50,000Administrative supplies $10,000Assume that all costs are fixed except supply costs, which are variable.a. What is the clinic’s underlying cost structure?b. What are the clinic’s expected total costs?c. What are the clinic’s estimated total costs at 7,500 visits? At 12,000 visits?d. What is the average cost per visit at 7,500, 10,000, and 12,500 visits?2. Northeast Medical Group a family practice, has the following financial data and operational metrics:Number of physicians 5Total revenue $2,748,360Total operating costs $1,557,615Total procedures per physician 12,353Patients per physician 1,941Visits per physician 5,333a. What is the group’s revenue per physician?b. What is the group’s operating cost per physician?c. What is the group’s total operating profit?d. What is the group’s profit per physician? Per patient? Per visit? Per procedure?3. Consider the following net cash flows:YearCash Flow0$ 012502400350046005600a. What is the net present value if the opportunity cost of capital is 10 percent?4. The following are selected entries for Warren Clinic for December 23, 2008, in alphabetical order. Create Warren Clinic’s balance sheet.Accounts payable $20,000Accounts receivable, net 60,000Cash 30,000Equity 230,000Long-term debt 120,000Long-term investments 100,000Net property and equipment 150,000Other assets 40,000Other long-term liabilities 10,000