Steven Berger's Fundamentals of Health Care Financial Management: A PDF

By Steven Berger

ISBN-10: 047018972X

ISBN-13: 9780470189726

ISBN-10: 0787997501

ISBN-13: 9780787997502

During this completely revised and up-to-date 3rd variation of basics of future health Care monetary administration, advisor and educator Steven Berger deals a pragmatic step by step method of figuring out the elemental theories and relationships guiding monetary judgements in future health care association. Set in a fictional mid-sized health center, the e-book is written in diary shape, taking the reader into the interior workings of the finance executive's place of work. This advent to the most-used instruments and strategies of overall healthiness care monetary administration comprises healthiness care accounting and monetary statements; dealing with money, billings and collections; making significant capital investments; opting for rate and utilizing price info in decision-making; budgeting and function dimension; and pricing. As within the earlier variants, this ebook introduces key functional options in basic components of monetary administration.

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Extra info for Fundamentals of Health Care Financial Management: A Practical Guide to Fiscal Issues and Activities ~ 3rd Edition

Example text

Net Present Value and Internal Rate of Return The art of pro forma development is best described as the ability to assemble a series of assumptions that lead to a go or no-go decision with respect to capital acquisition. This is generally accomplished by having the final result of the pro forma produce either a net present value (NPV) or internal rate of return (IRR) for the project. NPV is defined as the present value of the future cash inflow of an investment minus the investment’s cash outflow.

5. indd 30 10/26/07 1:52:18 PM 10,000 100,000 200,000 Office supplies Marketing Facility lease 515,000 757,100 TOTAL CASH OUTFLOWS 10,000 Total fixed expense Miscellaneous — 60,000 Insurance Interest 40,000 Legal and accounting (incl. 60 32 Fundamentals of Health Care Financial Management LIVING WITH THE FINANCE COMMITTEE AND BOARD OF DIRECTORS’ CALENDAR An important aspect of proper health care financial management is understanding the information needs of the people who are the ultimate decision makers in any organization, the board of directors.

The periodic review calendar allows the financial managers to plan out their upcoming year, knowing the schedule they are required to keep. indd 34 10/26/07 1:52:19 PM January 35 YEAR-END CLOSING At the same time the finance managers are preparing for the next finance committee meeting in February, they are engaged in one of the two most onerous tasks they are required to perform each year: the year-end closing. ) Although the regular monthly closing becomes routine, the year-end closing always requires an extraordinary amount of effort.

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Fundamentals of Health Care Financial Management: A Practical Guide to Fiscal Issues and Activities ~ 3rd Edition by Steven Berger

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