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1.Jennifer Smith was appointed nurse manager of the coronary care unit five months ago. It is a 10-bed unit that was budgeted at 80 percent occupancy. Her recent responsibility report indicates some positive and negative variances. She has been asked to give a verbal report at the next hospital budget review committee meeting. Among the issues Jennifer needs to consider are:

• What are the reasons for the increase in revenue?

• What expense lines are over budget?

• Although a contribution to the gross margin was made, an explanation of the negative variances needs to be given, with a corrective action plan identified.

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