2. Accounting
3. problem 1 tallahassee clinic projected the following budget information for...

# Question: problem 1 tallahassee clinic projected the following budget information for...

###### Question details

Problem 1

Tallahassee Clinic projected the following budget information for 2018:

 Total FFS Visit Volume 90,000 visits Payer Mix: Blue Cross 40% Celtic Insurance Company 60% Reimbursement Rates: Blue Cross $25 per visit Celtic Insurance Company$20 per visit Variable Costs – Resource Inputs: Labor 48,000 total hours Supplies 100,000 total units Variable Costs – Input Prices: Labor $25 per hour Supplies$1.50 per unit Fixed Costs (overhead, plant, and equipment) $500,000 Construct Tallahassee Clinic’s static operating budget for 2018. (See Exhibit 8.3, page 283. Note that there are four components that need to be included: Volume Assumptions, Revenue Assumptions, Cost Assumptions, and the Pro Forma Profit and Loss or P&L projected Statement.) Problem 2 Refer to Problem 1 above. Tallahassee Clinic’s actual results for 2018 are shown in the table below:  Total FFS Visit Volume 100,000 visits Payer Mix: Blue Cross 40% Celtic Insurance Company 60% Reimbursement Rates: Blue Cross$28 per visit Celtic Insurance Company $18 per visit Variable Costs – Resource Inputs: Labor 50,000 total hours Supplies 150,000 total units Variable Costs – Input Prices: Labor$28 per hour Supplies $1.50 per unit Fixed Costs (overhead, plant, and equipment)$500,000

a. Construct Tallahassee Clinic’s flexible budget for 2018 and actual operating results for 2018. (Hint: place the three budgets side by side. See Exhibits 8.4 and 8.5).

b. What is the profit variance?

c. Wat is the revenue variance?

d. What is the cost variance?

e. Focus on the revenue side. What is the volume variance?

f. Focus on the revenue side. What is the price variance?

g. Focus on the cost side. What is the volume variance?

h. Focus on the cost side. What is the management variance?

I ONLY NEED THE ANSWERS TO PROBLEM 2 BUT IT REFERENCED PROBLEM 1