Assume that 1 general practitioner .75 specialists, and 1 nurse practitioner .35

Question

Assume that 1 general practitioner .75 specialists, and 1 nurse practitioner .35 specialists for economic measure of skill substitution.

Calculate:

a.Work hours/visits

b.Adjusted work hours/visits

c.Work hours/adjusted visits

d.Adjusted work hours/adjusted visits‡

e.Total salary expense/visits

f.Total salary expense/adjusted visits‡

g. Percent of work hours in direct patient care
h. Percent of adjusted work hours in direct patient care‡

i,Total salary expense/hours of direct patient care‡

‡Use these measures for the final comparison among the three sites, and discuss potential problems at each site or overall for the company. What are your recommendations to correct them?

TABLE EX 9.7 Measurements/Sites Annual Visits Location 1 Location 2 Location 3 94,000 115,000 112,000 125,000 135,000 101,000 nnual Paid Hours Patient Classification (Based on CPT Coding) Initial Visit 55% Low-Level Decision Making (.50) Medium-Level Decision Making (.75) High-Level Decision Making (1.40) Skill-Mix Distribution Specialists ($110/hr) t General Practitioners ($85/hr) Nurse Practitioners ($45/hr) 40 20 20 40 50 70 50 20 20 * Represents total hours of direct care required per patient visit within the category t Represents hourly compensation including fringe benefits for the skill level.

Explanation / Answer

a.Work hours/visits: 8 Hours

b.Adjusted work hours/visits: 8 Hours

c.Work hours/adjusted visits: 4 Hours

d.Adjusted work hours/adjusted visits: 4 Hours

e.Total salary expense/visits: 15000

f.Total salary expense/adjusted visits: 10000

g. Percent of work hours in direct patient care: 100%
h. Percent of adjusted work hours in direct patient care: 100%

i,Total salary expense/hours of direct patient care: 20000

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