financial managemt

ASSIGMENT 1

Identify 6 major third-party payers who provide revenue to healthcare providers. Analyze at least 2 provider incentives and risks under each of the following  reimbursement methods:

· Cost based

· Charge based

· Per procedure

· Per diagnosis

· Per diem

· Bundled payment

· Capitation

· Fee for service

As in all assignments, cite your sources in your  work and  provide references for the citations in APA format. Your assignment should be addressed in a 2- to 3-page document.

ASSINMENT 2

·  Review the following balance sheet:

Best Care Health Maintenance Organization (HMO)
Balance Sheet
June 30, 2011 (in thousands)
Assets
Current assets:  Cash  Net premiums receivable  Supplies
	$2,737
	$821
	$387
Total current assets	$3,945	$3,945
Net property and equipment		$5,924
Total assets		$9,869
Liabilities and Net Assets
Accounts payable—medical services	$2,145
Accrued expenses	$929
Notes payable	$382
Total current liabilities	$3,456	$3,456
Long-term debt		$4,295
Total liabilities		$7,751	$7,751
Total assets			$9,869
Net assets-unrestricted (equity)			$2,118
Total liabilities and net assets			$9,869

· Answer the following questions after your analysis:

· What is Best Care’s net working capital for 2011? Show your work.

· What is Best Care’s debt ratio? Show your work.

· Your assignment should be addressed in a 2- to 3-page document.

file:///C:/Users/Lesha/Desktop/BALANCE%20SHEET%20ANALYSIS%20.pdf

https://www.youtube.com/watch?v=qDeTl6hos08

https://www.youtube.com/watch?v=YHjlySvGiNY

Assignment 3

Consider the following data and make your best analysis of per member per month (PMPM) rates, considering reductions in utilization or pricing. Bay Pines Medical Center estimates that a capitated population of 50,000 would have the following base case utilization and total cost characteristics:

Service Category	Inpatient Days  per 1,000 Enrollees	Average Cost  per Day
General	150	$1,500
Surgical	125	$1,800
Psychiatric	70	$700
Alcohol/Drug Abuse	38	$500
Maternity	42	$1,500
Total	425	$1,367

In addition to medical costs, Bay Pines allocates 10 percent of the total premium for administration/reserves.

 On the basis of your data analysis, respond to the following:

· What is the PMPM rate that Bay Pines must set to cover medical costs plus administrative expenses?

· What would be the rate if a utilization management program were to reduce utilization within each patient service category by 10 percent? And by 20 percent?

· Consider the initial base case utilization assumption. What rate would be set if the average cost on each service were reduced by 10 percent?

· Assume that both utilization and cost reductions were made. What would the premium be?

·  Your assignment should be addressed in an 8- to 10-page document.

https://pocketsense.com/how-to-calculate-pmpm-12205153.html

assignment 4

Review Understanding The Time Value of Money to attain more information on how the value of money is based on time.

 Find the following values for a lump sum assuming annual compounding:

· The future value of $500 invested at 8 percent for 1 year

· The future value of $500 invested at 8 percent for 5 years

· The present value of $500 to be received in 1 year when the opportunity cost rate is 8 percent

· The present value of $500 to be received in 5 years when the opportunity cost rate is 8 percent

· Analyze present and future values and their implications for the balance sheet and the budget of an organization.

·  Your assignment should be addressed in a 2- to 3-page document.

https://www.investopedia.com/articles/03/082703.asp

Assignment 5

· Describe the three types of project risks and detail the situation in which each type is most relevant when making a capital budgeting decision. Be sure to include the effect of correlation.

· Compare and contrast cash accounting methodology and accrual accounting methodology in order to illustrate how each works best for different types of companies.

· As in all assignments, cite your sources in your work and provide references for the citations in APA format.

·  Your assignment should be addressed in an 8- to 10-page document.