Reference no: EM132474959 , Length: 3000 Words

DHSM101 - Managing Finance in Healthcare Assignment, Diploma in Health Services Management (Level 7) - Aspire2 International, New Zealand

Aim - To provide knowledge and skills to middle and senior managers to develop their competences in managing finance in health and social care sector.

LEARNING OUTCOMES -

LO1: Analyse financial data in health and social care scenarios.

LO2: Evaluate financial data and make informed financial judgements based on accounting analysis.

LO3: Negotiate, compile and write a proposal for expenditure on a health or social care project.

Task - As a health service manager, you are required to prepare a report (word limit 3000) on your selected NZ based health care facility answering ALL of the following questions:

Question 1 - Identify two tangible and two intangible resources of the selected facility. Conduct PESTLE analysis of the facility based on available financial and non-financial information. Justify how the selected facility's organisational strategy (vision, mission or objectives) reflects on its external environment.

Question 2 - a. Why do you think it is important for the interested stakeholders to look into the different financial information about your facility? Support your answer with examples using requirements of two internal and two external stakeholders from the facility selected in the Question 1.

b. Compare and Contrast financial accounting with management accounting. Support your answer with examples using data from the facility selected in the Question 1.

c. Identify and describe the types of costs according to their nature of behaviour. Using the facility selected in Question 1, classify different items of expenditures according to their cost behaviours.

d. Identify four reasons why a business unit (hospital) may seek funding from New Zealand central and local government. Support your answer by analysing the nature and amount of funds received by the facility selected in Question 1.

e. Explain the nature and structure of Ministry of Health funding and classify the funding into debt, equity and third sector funding sources. Support your answer using with detailed funding listing from the facility selected in the Question 1.

Question 3 - a. Calculate the following ratios for 2018 and 2019 based on its public financial statements. (Note: you have to show your calculations)

Profitability ratios: Net Profit Margin, Return on Assets, Return on Stockholder's Equity

Liquidity ratios: Current ratio, Quick ratio, Net Working Capital

Efficiency ratios: Accounts Receivable Turnover, Inventory Turnover, Accounts Payable Turnover, Total Asset Turnover.

b. Analyse 2018's financial statements using ratio analysis and identify strengths, weaknesses and recommendations for improvement.

c. Prepare a budgeted forecast financial statements for the year ended 2020, 2021, 2022, 2023 and 2024 showing details of all assumptions made.

d. Identify the key performance indicators from your selected NZ based healthcare facility. How do you measure key performance indicators and their implications?