7. Given the following information, decompose the payor's inpatient costs variance. Determine how much of the unfavorable variance is driven by shifts in price, intensity of usage, and more membership? YTD Costs # Inpatient Days Cost per Day Days per member month MMOS Actual 2,100,000 2,100 1000.00 0.0191 110,000 Membership Price Intensity Impatient Costs Budget 1,662,500 1,900 875.00 0.0202 94,000 Variance (Act - Bud) 437,500 200 125 (0.00112) 16,000 do de do % % %

7. Given the following information, decompose the payor's inpatient costs variance. Determine how much of the unfavorable variance is driven by shifts in price, intensity of usage, and more membership? YTD Costs # Inpatient Days Cost per Day Days per member month MMOS Actual 2,100,000 2,100 1000.00 0.0191 110,000 Membership Price Intensity Impatient Costs Budget 1,662,500 1,900 875.00 0.0202 94,000 Variance (Act - Bud) 437,500 200 125 (0.00112) 16,000 do de do % % %

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Falls Creek Community Health Clinic uses the high-low method to analyze cost behavior and has determined that number of patients treated predict the clinic's total treatment costs. Determine the cost function (formula) for total treatment costs. What will the estimated treatment cost be if Falls Creek treats 1,402 patients in a month? Total Number Treatment of Patients Costs January $3,410 February $3,790 $3,574 $3,730 $4,500 1060 1180 March 1030 April 1260 May 1310 $4,294 June 1430 (Round your final answer to two decimal places)
Question: Assume that an HMO's capitation payment to PCPs is $20 PMPM, but 15% of this amount is placed in the PCP risk pool. The budgeted amount for specialty and hospital costs is $40 PMPM. The purpose of the risk pool is to encourage the PCPs to take actions that cause realized specialty and hospital costs to be less than those budgeted. Cost is measured by the amount the HMO spends on each physician's referral. There are three PCPs: Physician A, Physician B, and Physician C. Assume that each physician has 1,000 patients. Suppose Physician A's actual referral costs are $500,000, Physician B's are $540,000, and Physician C's are $620,00. Finally, suppose that no PCP will receive any funds from the risk pool if it is empty at the end of the year, but if there are referral funds left in the risk pool at the end of the year, they will be divided equally among the three physicians. 1) What is the amount of referral gain (loss) for Physician A? a. -$100,000 b. -$36,000 c. -$20,000 d.…
Please do not give solution in image format thanku
Please do not give solution in image format thanku
determine the following: Cost volume variance Price variance
Please competely answer
Carson CPAS specializes in preparing 1040EZ returns for low-income clients. The firm charged $100 per return this year and budgeted $100 per return. Additional information for the firm includes: Actual Budgeted 800 750 $37,500 12,000 Returns processed Variable costs Fixed costs Prepare Carson's static budget and the static budget performance report. Note: Do not use negative signs with any of your answers. Note: Indicate whether the variance is favorable (F) or unfavorable (U) using the drop-down menu in the last column next to the variable amount. Budgeted returns Actual returns Returns processed variance Revenue Variable costs Fixed costs Net income $36,000 12,500 $ $ Actual Results 0 For U $ 0$ Budget Results $ 0$ Variances 0 0 0 0 For U ♦ + >
Problem #3 Given the following information, explain the salary variance. Costs in the de- partment are considered 50 percent variable. Salaries Paid Hours Volume Actual $228,800 20,800 19,000 Budget $237,120 19,760 20,000
Please do not give solution in image format ? And Fast Answering Please And Explain Proper Step by Step.
As production increases, the fixed cost per unit a. decreases b. remains the same c. increases d. either increases or decreases, depending on the variable costs Standard costs are divided into which of the following components? a. price standard and quantity standard b. quality standard and quantity standard c. variance standard and quantity standard d. materials standard and labor standard Which of the following activity bases would be the most appropriate for food costs of a hospital? a. how many MRI's are taken b. number of patients who stay in the hospital c. quantity of prescriptions filled d. number of nurses scheduled to work
please do not give solution in image format
Analyze Valley Hospital's admissions time variance Valley Hospital began using standards to evaluate its Admissions Department. The standard was broken into two types of admissions as follows: Standard Time to Complete Type of Admission Record Admission Unscheduled 30 min. 20 min Scheduled The unscheduled admission took longer because name, address, and insurance information needed to be determined and verified at the time of admission. Information was collected on scheduled admissions prior to admitting the patient, thus requiring less time in admissions. The Admissions Department employs four fulll-time people for 40 hours per week at $12 per hour. For the most recent week, the department handled 184 unscheduled and 240 scheduled admissions. a. How much was actually spent on labor for the week? b. What are the standard hours for the actual volume of work for the week? (Round to the nearest whole hour.) hours c. Compute the direct labor time variance, and report how well the…