You are considering starting a walk-in clinic. Your financial projections for the first year of operations are as follows:

Revenues (10,000 visits) $400,000
Wages and benefits 220,000
Rent 5,000
Depreciation 30,000
Utilities 2,500
Medical Supplies 50,000
Administrative supplies 10,000

Assume that all costs are fixed except supply costs, which are variable. Furthermore, assume that the clinic must pay taxes at a 30% rate.

Q. what number of visits is required to provide you with an after-tax profit of $100,000?

To find the number of visits required to provide an after-tax profit of $100,000, we need to calculate the total expenses (including taxes) and then subtract it from the projected revenues.

First, let's calculate the total fixed expenses:
Wages and benefits: $220,000
Rent: $5,000
Depreciation: $30,000
Utilities: $2,500
Administrative supplies: $10,000

Total fixed expenses = $220,000 + $5,000 + $30,000 + $2,500 + $10,000 = $267,500

Next, let's calculate the variable expense per visit:
Medical supplies: $50,000

Variable expense per visit = $50,000 / 10,000 visits = $5 per visit

Now, let's calculate the total expenses for the desired after-tax profit:
Total expenses (including taxes) = Total fixed expenses + (Variable expense per visit * number of visits) + Taxes

We already know that the after-tax profit is $100,000, so the pre-tax profit can be calculated as follows:
Pre-tax profit = After-tax profit / (1 - Tax rate)
Pre-tax profit = $100,000 / (1 - 0.30) = $100,000 / 0.70 = $142,857.14

Now we can calculate the total expenses:
$142,857.14 = $267,500 + ($5 * number of visits) + (0.30 * ($400,000 - ($5 * number of visits)))

Simplifying the equation, we get:
$142,857.14 - $267,500 = $1.5 * number of visits - $0.30 * number of visits
$(-$124,642.86) / $1.5 = number of visits * (1 - $0.30)
Number of visits = $124,642.86 / $0.70 ≈ 177,918.37

Therefore, to achieve an after-tax profit of $100,000, you would need approximately 177,918 visits.