Explain the difference between an accounting profit and an economic profit

2. Review Nowicki Chapter 6 and Gapenski Chapter 5. From what you have learned in these chapters do the following:
a) Construct the hospital’s base case projected profit and Loss statement
b) Explain the difference between an accounting profit and an economic profit
c) What is the hospital’s break even point?
d) Define the contribution margin? What is it’s economic meaning?
e) What volume is required to provide a profit of $1 million?
f) What volume is required to provide a profit of $500,000?
g) Explain in general how breakeven points vary in a capitated vs. non-capitated environment.