Explain how marginal cost pricing is used by price setters


Explain how marginal cost pricing is used by price setters in health care.

Suppose a hospital was offered a capitation rate for a covered population of $40 per member per month (PMPM). Briefly explain how targeting costing would be applied to this situation.

 

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Finance Basics: Explain how marginal cost pricing is used by price setters
Reference No:- TGS0611080

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