are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Revenue (10000 visits) $405,041 Wages and benefit $236,502 Rent $4,415 Depreciation $27,780 Utilities $2,845 Medical supplies $46,208 Administrative supplies $9,302 Assume that all costs are fixed, except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 30 percent rate. What number of visits is required to break even

are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Revenue (10000 visits) $405,041 Wages and benefit $236,502 Rent $4,415 Depreciation $27,780 Utilities $2,845 Medical supplies $46,208 Administrative supplies $9,302 Assume that all costs are fixed, except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 30 percent rate. What number of visits is required to break even

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter15: Choice Of Business Entity—other Considerations

Section: Chapter Questions

Problem 71P

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You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows: Revenue (10000 visits) $394,007 Wages and benefit $226,585 Rent $4,095 Depreciation $29,179 Utilities $2,164 Medical supplies $49,632 Administrative supplies $9,163 Assume that all costs are fixed, except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 31 percent rate. What number of visits is required to provide you with an after-tax profit of $108,247? [Hint: Remember that after-tax profit = before-tax profit * (1- tax rate).] (Do not round intermediate calculations. Round your final answer to 2 decimal places. For example, 12.3456 should be entered as 12.35. REMINDER: quantities are always rounded UP. Canvas does not have this capability.)
Can you please answer the general accounting question?
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