Reference no: EM133247602

Case: Stone's Throw Hospital has a large demand for occupational therapists. The annual demand requires that the therapist see 20 patients a week for 48 weeks a year to keep up with the demand. The human resources manager has determined that they could hire a therapist that would make $200 for each therapy given to each patient. Furthermore, the hospital would have to generate a benefits package that would cost them $50,000 a year to hire the therapist. The HR manager also knows that she can work with a local contracting therapy company that would provide therapy for the demand of patients for $250/each patient, plus a contract/administration fee for $5,000.

A) Place the data in the appropriate data cells.

B) Place the appropriate formulas given in column I to the appropriate place in columns B and D.

C) What is the annual Demand (Q)? Place in cell C6.

D) After evaluating the model. Would contract or hire in-house? Place "In-House" or "Contract" in cell C7.

E) Using the graph points, make a scatter line chart to show the cross-over point for the model. Relabel