The formula to calculate the Cost Per RVU (CPRVU) is:
\[ \text{CPRVU} = \frac{\text{Total Cost of All Components}}{\text{Expected Level of RVUs}} \]
Where:
Cost Per RVU is the average cost of a Relative Value Unit (RVU) in healthcare. RVUs are a measure used in Medicare reimbursement calculations to assign values to medical services based on the resources required to perform them.
Suppose the Total Cost of All Components is $500,000 and the Expected Level of RVUs is 10,000.
To calculate the Cost Per RVU:
\[ \text{CPRVU} = \frac{500,000}{10,000} = \$50 \]
Therefore, the Cost Per RVU is $50.
