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Assume that a radiologist group practice has the following cost structure:
Fixed costs $500,000
Variable cost per procedure $25.00
Charge (revenue) per procedure $100.00
Furthermore, assume that a group expects to perform 7,500 procedures in the coming year.
A). Construct the groups base projected P&L statement.
B). what is the groups base projected P&L statement.
C). What volume is required to provide a pretax profit of $ 100,000? Pretax profit of $200,000?
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