You are the manager of a primary care clinic. You are currently negotiating a capitated...
90.2K
Verified Solution
Link Copied!
Question
Finance
You are the manager of a primary care clinic. You are currently negotiating a capitated rate with a managed care organization (MCO). Your charges for patient visits are currently $125 to see a physician and $90 to see a nurse practitioner (NP). You have the following expectations regarding average utilization by members of the MCO:
1.5 Physician visits per member per year
2.0 NP visits per member per year
In order to provide care for the MCO members, you will need additional physicians and nurse practitioners. Suppose you expect the following number of visits from this employee group:
1,200 patient visits per physician per year
2,000 patient visits per NP per year
Suppose further that the annual salaries, including benefits, are:
$175,000 annual compensation per physician
$95,000 annual compensation per NP
Calculate the capitation rate that would be needed to cover just the cost of the additional physicians and NPs.
This is the complete question. No other data provided.
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!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.