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1. In terms of ownership, what are the three major types of healthcare organizations? Provide a brief description for each type.
2. Why is it so important for a healthcare organization to develop a five-year strategic financial plan, not just an annual budget?
3. Why is payer mix so important in healthcare strategic financial planning? What could happen if a healthcare organization's payer mix changed substantially from one year to the next?
4. Explain the difference between direct and indirect costs for a healthcare organization. Provide and discuss at least one example of a direct cost in health care and one example of an indirect cost in health care.
5. An essential aspect of healthcare financial management for any medical facility is the year end closing. What are the primary accounts that must be addressed in the year-end closing process? List these accounts and briefly describe the procedure for each.
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