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Week 6 homework answers

Week 6 homework answers

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8-1 Two types of visits are provided by the Durham Health Clinic, first-time visits and return visits. Table 8-5 provides the processing time for each work station and the available staff hours per week. Determine the production frontiers for this clinic and indicate which station should be expanded to increase the overall capacity of the clinic. Which service station could be reduced? From the table the maximum time taken is for Medical exam and treatment for first visit. This can be expanded double so that time will be reduced to 0.25 for I visit and 0.125 for II visit. The reception/discharge can be reduced by 25% so that first visit time = 0.30 and second = 0.15. 8-2 Durham Health Clinic has a contribution margin of $35 per visit. Calculate the break-even point in visits with fixed costs at $4000, $6500, and $8500 per week. Given this analysis, as a manager, what would you recommend and why? (115 visits) (143 visits) (243 visits) I would recommend the $4000 because the break-even point is the least of all break-even points. 8-3 Durham Health Clinic is considering signing a contract to perform 50 pre-employment physicals per week for a specific corporation. In terms of staff time, a pre-employment physical requires 0.20 hours in Reception/Discharge, 0.45 hours in Nursing and Testing, and 0.20 hours in Medical Examination. By work-station, determine how many work hours per week will be needed to perform these physicals. Reception and discharge require 10 hours of staff t ...
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