Reference no: EM133534725
Assignment:
Read Case 20 (pages 127-132) from Gapenski's Cases in Healthcare Finance, which is titled "Coral Bay Hospital."
Make a PowerPoint presentation (PPT) that would be appropriate for a senior executive. A title slide containing your name and the case's name should be included in the finished output.
What are the proposed ambulatory surgery center's NPV, IRR, MIRR, and payback? Do the results show favorability or favorability for the proposed ambulatory surgery center?
Before the proposal is presented to the board, one board member wants to guarantee that a thorough risk analysis, including sensitivity and scenario studies, is carried out.
Analyze the sensitivity of the situation.
What management data does the sensitivity analysis provide?
Analyze possible scenarios.
What management data can the scenario analysis offer?
Why are the expected NPV and base case NPV different from the scenario analysis' predicted NPV?
The Center's usage breakeven is of interest to one of the board members.
What are the breakeven points for the three very uncertain input variables?
What management data can the breakeven analysis offer?