Health Care Business Analysis
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Resources:Â Budgets under Chief Financial Officer in the Patton-Fuller Community Hospital Virtual Organization and the Health Care Budget assignment from Week Five.
Part 1: 2010 Operating Budget
ReviewÂ the 2009 Budget Issues – Nurses file in theÂ Patton-Fuller Community Hospital Virtual OrganizationÂ .Â This document can be found on the Chief Financial Officer’s web page under Special Projects.
DecideÂ which of the two highlighted options you will implement from the Nursing Statistics memo of the 2009 Budget Issues – Nurses document.
DiscussÂ decision-making processes in creating a budget.
CreateÂ a new 2010 Operating Budget based on the labor decision you select from the Nursing Statistics memo.Â UseÂ your Week 5 Health Care Budget, see attachment, assignment as the foundation to develop your new projected budget.
Part 2: Analysis Paper
WriteÂ a 1,050- to 1,400-word paper. Your paper should:
Â· Discuss decision-making processes in creating a budget.
Â· Explain the role of variance analysis in maintaining an operating budget.
Â· Differentiate between managerial accounting and financial management.
Â· Explain generally accepted accounting principles applied to the health care industry and how they are applied to your Operating Budget Projection.
Â· Discuss the decision between the two labor alternatives facing the management of PFCH and the annual cost increase of each.
Â· Make a recommendation about which labor alternative should be chosen.
Â· Justify and analyze the labor decision that you recommend. Your justification should present numbers related to fiscal management including how each decision affects the 2010 Budget Projection.
Â· Analyze the effect of your decision on the operating budget, including:
Â· The opportunity cost of your recommendation
Â· How your recommendation affects employee satisfaction
Â· How your recommendation affects patient care and patient satisfaction
CiteÂ a minimum of 5 sources.
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