Please answer question 1 in an essay format. Question 1should be typed and written in an essay format, with
the appropriate heading, an introduction, body, conclusion, and references. Be specific in answering the
questions and provide examples. This is an individual submission. The submission will be checked for
plagiarism through SafeAssign software. You can only submit your assignment once.
Why are planning and budgeting so important to an organizations success?
For question 2 – Fill in the values for (a) through (m). Please show all of your calculations/ formulas. Any
assignment submitted without calculations/ formulas will result in a zero grade. Assume Aqua hospital has
three payers groups and the hospitals fixed costs are $37,000,000.
Aqua Hospital’s Financial Data
Payer Number of Admissions Average Net Revenue / Admission Net Revenue by Payer Variable Cost /
Admission Total Variable Costs Contribution Margin
Commerical 1,000 $5,000 (a) $3,000 (b) (c)
MetCare 4,000 $4,500 (d) $4,000 (e) (f)
Medicare 8,000 $7,000 (g) $2,500 (h) (i)
Total 13,000 (j) (k) (l