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You have a choice to hire a doctor that would be able to see 2184 patients...

You have a choice to hire a doctor that would be able to see 2184 patients annually with an annual salary of $180,000 or a Registered Nurse with an annual salary of $67,000 that would be able to see 1561 patients per year. All else equal, would you hire a Registered Nurse or a Doctor?

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Answer #1

For the doctor, the cost per patient = $180,000/2184 = $82.42

For the registered nurse, the cost per patient = $67,000/1561 = $42.92

So, the cost per patient is lower for the nurse than the doctor. So, I would hire the nurse.

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