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Table 1 Calculations to estimate cost ^

From: The cost of hospital-acquired complications for older people with and without dementia; a retrospective cohort study

Patient DRG Data source Fractured neck of femur, +c/c
Fixed costs (estimated) State data $670
Variable costs (estimated) State data $6,570
Average length of stay for the DRG State data 8 days
Daily variable cost State data $6,570/8 = $820
Actual length of stay Study data 11 days
Actual estimated cost Study data * State data 11 * $820 + $670 = $9690
If patient length of stay is above the average for the DRG:
Extra length of stay Study data – State data 11 - 8 = 3 days
Extra cost Study data * State data 3 * $820 = $2460
  1. ^Example uses Fractured Neck of Femur with complication and/or comorbidity (+c/c) (DRG I78A), figures rounded to reflect estimation status.
  2. DRG = Diagnostic Related Group.
  3. State data = all ages overnight NSW public hospital episodes.
  4. Study data = 50+ overnight NSW public hospital episodes.