DQ1
a. Managed care marketing expense
b. Real estate taxes
c. Liability insurance
d. Clinic telephone expense
e. Utilities (for the entire facility)
f. Emergency room medical supplies
DQ2
What is break-even analysis and why is it an important element in the discussion of operating leverage? In your response include a discussion on the break-even point.
Compare fixed and variable costs and explain the significance of the difference in making financial decisions. What does contribution margin (CM) mean?