Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. you run a hospital with 100 rooms. fixed daily cos

You run a hospital with 100 rooms. Fixed daily cost is $988.00 which includes staff salary,...

Free

90.2K

Verified Solution

Question

Accounting

You run a hospital with 100 rooms. Fixed daily cost is $988.00which includes staff salary, property charges, maintenance etc.Variable cost per room is $12.00 which includes cleaning, equipmentrentals, utility cost etc. which is incurred only when the room isfull. You charge $84.00 per room per day. You sold 37.00 roomstoday, how much profit/loss did you earn for today.

Answer & Explanation Solved by verified expert
3.6 Ratings (296 Votes)

Income Statement

Revenue

$ 3,108.00

Less: Variable Cost

$     444.00

Contribution Margin

$ 2,664.00

Less: Fixed cost

$     988.00

Net Income

$ 1,676.00

Calculations wide income statement for better understanding

Working

Details

Details

(A)

Number of Rooms sold today

           37

(B)

Charge per Room

$        84.00

(C )=(AxB)

Total Revenue

$ 3,108.00

(D)

Number of Rooms sold today

           37

(E)

Variable Cost per Room

$        12.00

(F)=(DxE)

Total Variable Cost

$     444.00

(G)=(C-F)

Contribution Margin

$ 2,664.00

(H)

Fixed Cost

$     988.00

(G-H)

Profit for today

$ 1,676.00

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

MHC 6305 Financial Management 1st is information: Healthcareorganizations (HCOs) need to acquire long-term and...

Accounting
Q

4 What is the hypersensitive response and what chemical agents mediate it

Biology
Q

What values of x and y make AIJK AWUV x 36 K x X y...

Geometry
Q

Find the area of the figure A Simplify your answer 12 m 26 m 48...

Calculus
Q

Consider the function f x 7 defined on 7 7 a Compute the left Riemann...

Calculus
Q

In 2024, Bratten Fitness Company made the following cash purchases: 1. The exclusive...

Accounting
Q

Salt Air Marine experienced these events during the current year. a. December...

Accounting
Q

1. Jay contributes property with a fair market value of $33,200 and an adjusted basis...

Accounting
Q

For the second week of June, Bob Long worked 44.50 hours. Bob earns $15.30 an...

Accounting
Q

(EUT444) estion 2 alan 2 word is the Interest is the manifestation of the time...

Accounting
Q

Using the data below, estimate the direct labor costs per unit for 2021

Accounting
Q

Lala Land Corporation (LLC) intends to purchase a piece of machinery for $1,000,000. The project...

Finance