Finance Healthcare Questions
Compute the contribution margin for Greenside Clinic
The mental health program for the community center has just completed its fiscal year end. The program director determines that his program has revenue for the year of 1,210,000. He believes his variable expense amounts to 205,000 and he knows his fixed expense amounts to 1,100,000.
1. Compare the contribution margin for the Community Health Program.
2. What does the result tell you about the program?