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Budget assumptions for this exercise include both inpatient and outpatient revenue and expense. Assumptions are as follows: As to the initial budget: The budget anticipated 30,000 inpatient days this year at an average of $650 revenue per day.
• Inpatient expenses were budgeted at $600 per patient day.
• The budget anticipated 10,000 outpatient visits this year at an average of $400 revenue per visit.
• Outpatient expenses were budgeted at $380 per visit. As to the actual results:
• Assume that only 27,000, or 90 percent, of the inpatient days are going to actually be achieved for the year.
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