Cuyahoga County Hospital Has Overall Variable Costs of 75% of Total

Multiple Choice

Cuyahoga County Hospital has overall variable costs of 75% of total revenues and fixed costs of $40 million per year. There are 40,000 patient- days estimated for next year. The average daily revenue per patient necessary to breakeven is:

A) $250
B) $20,000
C) $1,000
D) $4,000