Deadwood Hospital Has Variable Costs of 50% of Total Revenues

question 33

Multiple Choice

Deadwood Hospital has variable costs of 50% of total revenues and fixed costs of $40 million per year.There are 40,000 patient-days estimated for the next year.The break-even point expressed in total revenue is ________.

• A)$10 million
• B)$40 million
• C)$80 million
• D)$90 million

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Definitions:

PYY

A hormone involved in digestion and appetite regulation, signaling feelings of fullness.

Digestive Tract

The series of organs in the digestive system through which food passes, nutrients are absorbed, and waste is eliminated.

Hunger Signals

Biological cues sent by the body to indicate the need for food intake.

Set Point

A theory suggesting that the body regulates its weight and body fat level with internal mechanisms, aiming to keep body weight at a predetermined, stable level.