Course: Healthcare Financial Management and Analysis for Executives in Healthcare
Model 1: Financial Management Overview.
Module 1: Discussion Board
If you were a healthcare administrator, how would you use each of the major financial statements to make informed decisions? Provide a specific scenario where understanding the difference between for-profit and not-for-profit financial reporting is important.
In 300-400 words, please post your initial response to the prompt. You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
Model 1: Assignment #1
Purpose of Assignment:
. Purpose of Assignment:
The purpose of this assignment is to prepare a Balance Sheet and Statement of Operations for the given healthcare organizations. You will also prepare a memo explaining how healthcare leaders can use this financial information to make informed decisions.
Steps to Complete Assignment:
1. Complete chapter 2 problems 12 and 13 using this required template Download using this required template.
2. Prepare a memo in which you address the following:
a. How would you explain the purpose and key components of a Balance Sheet to a healthcare administrator who’s new to financial reporting?
b. How does a Statement of Operations help a healthcare administrator understand the organization’s financial performance over a specific period?
c. Provide concrete examples of how healthcare leaders might use information from these financial statements to:
i. Develop a strategy for managing the organization’s debt?
ii. Identify and implement cost control measures?
iii. Improve operational efficiency across an organization?
iv. How do these financial statements work together to give a comprehensive picture of a healthcare organization’s financial health?
Submission Details:
submit two deliverables.
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model 2: Developing Financial Statement
Model 2 Discussion 2
How does the timing of revenue and expense recognition differ between accrual and cash basis accounting? How might these differences impact a company’s perceived financial health?
- In 300-400 words, please post your initial response to the prompt.You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
Model 2: Assignment #2
Purpose of Assignment:
The purpose of this assignment is to analyze financial transactions and develop financial statements based on these transactions. You will also prepare a memo analyzing the facility’s financial statements.
Steps to Complete Assignment:
1. Complete chapter 3 problem 11 using this required template Download using this required template.
2. Prepare a memo in which you address the following:
1.
a. Provide a summary of the clinic’s financial health based on the balance sheet and statement of operations.
b. How do the clinic’s revenue sources, major expenses, assets, liabilities, and net assets reflect its overall financial position?
c. What strengths or potential concerns do you identify?
d. Propose 3-5 specific, actionable recommendations to improve the clinic’s financial position?.
Model 3: Financial Statement Analysis
Model 3 Discussion 3
How do horizontal and vertical analyses complement each other in providing a comprehensive view of a company’s financial health? Provide a scenario in which one type of analysis be more helpful than the other.
- In 300-400 words, please post your initial response to the prompt.You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
Model 3: Assignment #3
Purpose of Assignment:
The purpose of this assignment is to prepare a Balance Sheet and Statement of Operations for the given healthcare organizations. You will also prepare a memo explaining how healthcare leaders can use this financial information to make informed decisions.
Steps to Complete Assignment:
1. Complete chapter 4 problem 13 using this required template Download using this required template.
2. Prepare a memo in which you address the following:
a. Analyze the Liquidity Ratios, specifically:
i. How do Longwood’s current and acid test ratios compare to industry benchmarks?
ii. What do these comparisons reveal about the hospital’s short-term financial stability?
iii. How is Longwood positioned to handle unexpected financial challenges or opportunities?
b. Analyze the Profitability Ratios, specifically:
i. How do Longwood’s operating margin and return on total assets compare to industry standards for a 350-bed facility?
ii. How does Longwood’s salary and benefit expense as a percentage of total operating expense impact its profitability?
iii. Based on the profitability ratios, what areas should Longwood’s management focus on to improve financial performance?
c. Analyze the Activity Ratios, specifically:
i. How do Longwood’s days in accounts receivable and average payment period compare to industry benchmarks?
ii. What do the total asset turnover and fixed asset turnover ratios reveal about Longwood’s efficiency in utilizing its resources?
iii. Based on the activity ratios, what specific strategies could Longwood implement to improve its operational efficiency?
d. Analyze the Capital Structure Ratios, specifically:
i. How do Longwood’s long-term debt to net assets and net assets to total assets ratios compare to industry standards for a 350-bed hospital?
ii. What do these capital structure ratios suggest about Longwood’s financial leverage and long-term financial stability?
iii. Based on the capital structure analysis, what recommendations would you make to Longwood’s leadership regarding future financing decisions?
Submission Details:
submit two deliverables.
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model four Working capital management and the time value of money
Model 4 Discussion 4
How might the use of future value projections influence decisions about pricing healthcare services or setting insurance premiums?
In 300-400 words, please post your initial response to the prompt.You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
Model 4: Assignment #4
Purpose of Assignment:
The purpose of this assignment is to conduct time value of money calculations. You will also prepare a memo explaining the implication of the time value of money for healthcare financial decision-making.
Steps to Complete Assignment:
1. Complete chapter 5 problem 28 and chapter 6 problems 16, 20, and 24 using the required template.
2. Prepare a memo in which you address the following:
a. Consider the time value of money. What is the relationship between time, interest rates, and the value of an investment?
b. Compare and contrast the financial implications of a 3-year vs. 12-year investment horizon in a healthcare setting. How might this affect decisions on equipment purchases or facility upgrades?
c. How does understanding compound interest and discounting help healthcare administrators more accurately assess the true cost of multi-year projects?
Submission Details:
submit two deliverables.
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model 5 Capital finance
Model 5 Discussion 5
How might the strategies for increasing equity differ between for-profit and not-for-profit healthcare providers? What implications does this have for their long-term financial stability?
- In 300-400 words, please post your initial response to the prompt.You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
Model 5: Assignment #5
Purpose of Assignment:
The purpose of this assignment is to conduct bond valuation calculations. You will also prepare a memo explaining the implication of bond valuation for healthcare financial decision-making.
Steps to Complete Assignment:
1. Complete chapter 8 problems 18, 19, and 20 using the required template.
2. Prepare a memo in which you address the following:
a. Explain the inverse relationship between interest rates and bond prices.
b. How could fluctuating market rates impact a healthcare organization’s existing bond portfolio and future borrowing strategies?
c. How does understanding premium, par, and discount pricing help a healthcare financial manager optimize the organization’s debt structure?
d. Compare the advantages and disadvantages of zero-coupon bonds versus coupon-bearing bonds for healthcare facility expansion projects. Under what circumstances might each be preferable?
Submission Details:
, submit two deliverables.
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model six Components of cost
Model 6 Discussion 6
How does understanding the behavior of fixed and variable costs impact strategic decision-making in healthcare facilities? Provide a scenario where the traditional assumptions about fixed and variable costs might not hold true in a healthcare setting
- In 300-400 words, please post your initial response to the prompt. You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
· Model 6: Assignment #6
Purpose of Assignment:
The purpose of this assignment is to conduct a break-even analysis for the given healthcare organizations. You will also prepare a memo explaining how healthcare leaders can use this break-even analysis to make informed decisions.
Steps to Complete Assignment:
1. Complete chapter 9 problem 12 using the required template.
2. Prepare a memo in which you address the following:
a. What patient volume is required to cover costs?
b. At what point does the service become profitable?
c. How does reduced reimbursement impact the break-even point?
d. What are the financial implications of adding a technologist aide?
e. How sensitive is the break-even point to changes in reimbursement or staffing?
f. How can the leadership team at Digital Imaging Center use this break-even analysis to make decisions about pricing strategies?
g. Propose and justify 3-5 actionable recommendations for improving the financial performance of the mammography service
Submission Details:
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model 7: Budgeting
Model 7 Discussion 7
How can healthcare organizations use responsibility centers to create a culture of accountability and continuous improvement in their budgeting process?
- In 300-400 words, please post your initial response to the prompt. You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words
· Model 7: Assignment #7
Purpose of Assignment:
The purpose of this assignment is to a variance analysis for the given healthcare organizations. You will also prepare a memo explaining how healthcare leaders can use variance analysis to make informed decisions.
Steps to Complete Assignment:
1. Complete chapter 11 problems 17 using the required template.
2. Prepare a memo in which you address the following:
a. What do the total variance, service-related variance, and flexible budget results reveal about the organization’s performance?
b. Which volume and rate variances are most impactful? Why?
c. How do these variances differ across revenue streams (surgery, gift shop, parking)?
d. Analyze the relationships between planned and actual budgets:
i. What factors most significantly influenced deviations from the plan?
ii. How did changes in volume and rates contribute to overall variances?
e. Based on your analysis, propose and justify 2-3 actionable recommendations for Cutting Edge’s leadership. Be sure to consider opportunities to capitalize on favorable variances and potential adjustments to budgeting or forecasting processes.
Submission Details:
By 11:59pm ET on Sunday, July 6th, submit two deliverables.
Deliverable 1 – Excel template
Deliverable 2 – Memo in Word
The memo should be at least 2 pages (no more than 4) double spaced memo, 12 point Times New Roman font, and include at least 2 references, one of which should be your textbook.
Model 8: Provide Payment
Model 8 Discussion 8
How does the Hospital Readmissions Reduction Program account for social determinants of health and their impact on readmission rates? Provide one or two recommendations to refine the policy to address potential disparities in its impact across different patient populations or communities.
In 300-400 words, please post your initial response to the prompt. You will also post a minimum of 2 response to other student response. Each response must be a minimum of 200 words pact across different patient populations or communities.
· Model 8: Assignment #8
· Final Project
Purpose of Assignment:
The purpose of this assignment is to analyze current healthcare reimbursement policies and propose improvements. You will examine the evolution of healthcare payment systems, evaluate the transition to value-based care, and identify challenges in existing reimbursement models.
Steps to Complete Assignment:
1. Conduct research on healthcare payment systems.
2. Prepare a research paper in which you address the following:
a. Provide an overview of the evolution of healthcare payment systems in the United States
b. Describe major reimbursement models and analyze the strengths and weaknesses of each model
i. fee-for-service
ii. bundled payments
iii. capitation
c. Explain the core principles of value-based care and analyze the challenges and opportunities in transitioning to value-based reimbursement
i. Be sure to consider issues such as health disparities, access to care, quality improvement, and cost containment
d. Develop evidence-based 2-3 recommendations to address the challenges you identified
i. Be sure to explain how your proposed improvements would enhance healthcare delivery and outcomes
ii. Be sure to consider potential implementation barriers and strategies to overcome them
Submission Details:
Deliverable 1 – Research paper in Word
The paper should be at 5-7 pages of content, a title page, a reference page, double spaced memo, 12 point Times New Roman font, and include at least 5 references, one of which should be your textbook.