Reference no: EM132930161
1. The Role of Financial Statements
Understanding basic accounting principles is imperative to the health care manager role. Reading a balance sheet and recognizing the importance of cash flow are skills that are compulsory to this function. With this in mind, discuss the following:
- Discuss the most important headings in a balance sheet and what the summary numbers mean.
- Explain 4-5 reasons why cash flow is important to a healthcare organization.
2. Understand How Reimbursement Contributes to the Need for Cost Containment
You are the manager in a healthcare organization, and you have been directed to come up with a plan to cut your budget by 5%. Discuss the following:
- What expenses will you cut? Justify the cuts you choose.
- Describe how these cuts will affect patient-centered care.
- Include both positive and negative effects.
Provide at least 1 reference for this discussion.
3. Analyze the Basics of Financial Principles
You are the chief financial officer (CFO) for an organization and need to discuss with fellow C-suite executives that cost cutting is not the only answer to profitability. Prepare for the next manager's meeting by responding to the following prompts:
- Explain how a capital budget and a return on investment contribute to sustainable growth.
- Clarify the role that risk analysis plays during capital investment decision making.