Health care organizations are divided into revenue centers where managers are responsible for operations and evaluating a unit’s performance. For example, a nurse manager may be responsible for an outpatient surgical center unit, and the manager of a short-term care unit will be responsible for all of the services that are delivered to their patients. Responsibility accounting and financial management provide that manager with the necessary information to make sound fiscal decisions. A manager will have to look at direct costs, indirect costs, and full costs. They will also be responsible for cost allocation.
Upon successful completion of this assignment, you will be able to:
• Comprehend the relationship between financial management and strategic planning.
• Calculate a break-even analysis and the volume necessary to achieve a desire net income.
• Conduct basic capital budgeting analysis.
• Conduct a project risk assessment.
Sample Solution
