Asked by Stephanie Marin on Jul 23, 2024

verifed

Verified

The average medical office spends ____ of its annual gross income on administrative, clinical, and general supplies.

A) 1% to 2%
B) 2% to 3%
C) 4% to 6%
D) 8% to 10%
E) 12% to 15%

Gross Income

The total income earned by an individual or a business before any deductions or taxes are applied.

Administrative

Relating to the organization, management, and execution of office tasks or duties within a company, institution, or organization.

Clinical

Relating to the observation and treatment of actual patients rather than theoretical or laboratory studies.

  • Know the average percentage of gross income medical offices spend on supplies and the impact on budgeting.
verifed

Verified Answer

VS
vikas sandhuJul 29, 2024
Final Answer :
C
Explanation :
The average medical office typically spends about 4% to 6% of its annual gross income on administrative, clinical, and general supplies. This range accounts for the necessary expenses to maintain operations, including office supplies, clinical materials, and other operational needs.