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What price per visit must be set

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Question - Marshall Clinic offers one service that has the following annual cost and utilization estimates: You must show your calculation to receive credit.

Variable cost per visit $10

Annual direct fixed costs $20,000

Allocation of overhead costs $20,000

Expected utilization 1,600 visits

Required - What price per visit must be set if the clinic wants to make an annual profit of $15,000 on the service?

Reference no: EM133136125

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