Kaciuba and Seigel (2009) expand on an ABC system in a medical practice. The basic ABC system is transformed to include revenues. Using Table 2, discuss the differences in the process costs for the Fannon and Martens and Thoracic Surgery Medical Group (FMMG) and Drs. Mikos, Cord, Carson, and Smith (MCCS) and the database average. Compare the patient encounters of each business model and the database average per surgeon. How are the different business models used in the two practices apparent in these comparisons?
Discussion Essay
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