FE002

HealthcareBudgetExcelTemplate3-2020.xlsx

A3 Wk4 Estimated Expenses

Expenses/Cost	Year 0	Year 1	Year 2	Year 3	Year 4	Year 5	Grand Total
Start up expenses
expense 1 Dr. Debra Sullivan: Change these names to reflect your start-up expenses. Add more lines if you need more start up expenses or delete lines if you don't need all4 expenses.
			Dr. Debra Sullivan: If you see a red tab on a cell, there are further tips. Do not enter any information in gray cells	expense 2
expense 3
expense 4
Total start up expenses
	Debra Sullivan, PhD: Debra Sullivan, PhD: This is where is total the start up expenses	Operating Expenses
expense 1 Dr. Debra Sullivan: These costs may include human resources/personnel, equipment and supplies, marketing, training, and many more .Make sure you calculate for a full year for each column.
							Debra Sullivan, PhD: Debra Sullivan, PhD: This is the same as cell B7 representing the total start up expenses	expense 2
expense 3
expense 4
expense 5
Total operating expenses
Total Expenses
	Debra Sullivan, PhD: Debra Sullivan, PhD: This is total start up expenses	Dr. Debra Sullivan: Total operating expenses for year 1	Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 2	Revenue/Savings
Source 1 Dr. Debra Sullivan: Dr. Debra Sullivan: Revenue is the income derived from the reimbursement for providing goods or services. Revenue is based on the price or reveue per unit. Remember that charges may not be fully reimbursed. The calculation for a revenue stream could be revenue per unit (RU) multiplied by Units of service ((UOS) less reimbursement rate (RR)(for example 80%). For a service, you must first calcuate a unit of service (see chapter 4 of your textbook) and then follow the formula, (RUUOS)RR=Revenue. For a producr you would use the price. Cost avoidance has to do with any action that avoids having to incur costs in the future. In a business setting, cost avoidance is a measure that lowers potential increased expenses as a way of decreasing a company’s future costs. For purposes of this assignment, should your selected solution not generate a finite revenue (actual money being collected), you will use cost avoidance. An example is adding a new FTE to decrease overtime. An example in Penner, Table 10B.1 outlines costs of cleaning patient privacy curtains to decrease hospital acquired infection. Remember, if you choose this type proposal, you will need to break down costs and revenue in terms of units and explain a monetary value per unit.
				Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 3	Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 4	Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 5	Debra Sullivan, PhD: Debra Sullivan, PhD: This is the grand total of all startup and operating expenses. If you add cells B17 through G17 it should equal the sum of H7 though H15, so you can write your formula either way. Remember these cell numbers could change if you add additional expenses.	Source 2
Source 3
Source 4
Total Revenue/savings
	Debra Sullivan, PhD: Debra Sullivan, PhD: You will not have revenue for startup unless you have a grant or upfront funding.	Dr. Debra Sullivan: Dr. Debra Sullivan: Total all revenue/saivings for year 1	Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 2	Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 3	Return on Investment
		Dr. Debra Sullivan: For each year (column) for all 5 years and the grand total ,calculate the ROI using the following formula ROI = (Total Revenue –Total expense) /Total Expenses			Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 4	Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 5	Debra Sullivan, PhD: Debra Sullivan, PhD: This is the grand total of all revenue, so the sum of cells C24 through G24 should equal H20 throughH23. So either formula would be correct. Note that the cell numbers could change if you add additional revenues.

A4 wk6 Budget Dev Worksheet

Expenses/Cost

Year 0

Year 1

Year 2

Year 3

Year 4

Year 5

Grand Total

Start up expenses

expense 1
Dr. Debra Sullivan: Change these names to reflect your start-up expenses. Add more lines if you need more start up expenses or delete lines if you don't need all4 expenses.

Dr. Debra Sullivan: If you see a red tab on a cell, there are further tips. Do not enter any information in gray cells

You should copy the items from week 4 Estimated Expenses to the area of this form that are the same. Be sure to enter formulas. Remember red tabs offer tips.

expense 2

expense 3

expense 4

Total start up expenses

Debra Sullivan, PhD: Debra Sullivan, PhD: This is where is total the start up expenses

Operating Expenses

expense 1
Dr. Debra Sullivan: These costs may include human resources/personnel, equipment and supplies, marketing, training, and many more .Make sure you calculate for a full year for each column.

Debra Sullivan, PhD: Debra Sullivan, PhD: This is the same as cell B7 representing the total start up expenses

expense 2

expense 3

expense 4

expense 5

Total operating expenses

Total Expenses

Debra Sullivan, PhD: Debra Sullivan, PhD: This is total start up expenses

Dr. Debra Sullivan: Total operating expenses for year 1

Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 2

Revenue/Savings

Source 1
Dr. Debra Sullivan: Dr. Debra Sullivan: Revenue is the income derived from the reimbursement for providing goods or services. Revenue is based on the price or reveue per unit. Remember that charges may not be fully reimbursed. The calculation for a revenue stream could be revenue per unit (RU) multiplied by Units of service ((UOS) less reimbursement rate (RR)(for example 80%). For a service, you must first calcuate a unit of service (see chapter 4 of your textbook) and then follow the formula, (RU*UOS)*RR=Revenue. For a producr you would use the price. Cost avoidance has to do with any action that avoids having to incur costs in the future. In a business setting, cost avoidance is a measure that lowers potential increased expenses as a way of decreasing a company’s future costs. For purposes of this assignment, should your selected solution not generate a finite revenue (actual money being collected), you will use cost avoidance. An example is adding a new FTE to decrease overtime. An example in Penner, Table 10B.1 outlines costs of cleaning patient privacy curtains to decrease hospital acquired infection. Remember, if you choose this type proposal, you will need to break down costs and revenue in terms of units and explain a monetary value per unit.

Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 3

Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 4

Debra Sullivan, PhD: Debra Sullivan, PhD: Total operating expenses for year 5

Debra Sullivan, PhD: Debra Sullivan, PhD: This is the grand total of all startup and operating expenses. If you add cells B17 through G17 it should equal the sum of H7 though H15, so you can write your formula either way. Remember these cell numbers could change if you add additional expenses.

Source 2

Source 3

Source 4

Total Revenue/savings

Debra Sullivan, PhD: Debra Sullivan, PhD: You will not have revenue for startup unless you have a grant or upfront funding.

Dr. Debra Sullivan: Dr. Debra Sullivan: Total all revenue/saivings for year 1

Cash flow
Dr. Debra Sullivan: Revenue minus expenses

Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 2

Dr. Debra Sullivan: Dr. Debra Sullivan: Revenue minus expense.Since you have no revenue, this will be a negative number

Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 3

Dr. Debra Sullivan: Dr. Debra Sullivan: Revenue minus expenses for each columm yearly

Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 4

Payback Period*

Dr. Debra Sullivan: calculated as: Payback period = final year with a negative cash flow + (absolute value of Net cash flows in that year divided by total cash flow in the following year)

Debra Sullivan, PhD: Debra Sullivan, PhD: Total all revenue/saivings for year 5

Debra Sullivan, PhD: Debra Sullivan, PhD: This is the grand total of all revenue, so the sum of cells C24 through G24 should equal H20 throughH23. So either formula would be correct. Note that the cell numbers could change if you add additional revenues.

*Payback Period Calculation

Year

Cash Flow ($)

Net Cash Flow ($)

Dr. Debra Sullivan: this column is from the cash flow row on your budget

Dr. Debra Sullivan: This the same as cash flow for just this cell

Dr. Debra Sullivan: here you will add year 1 cash flowto year 0 net cash flow

Dr. Debra Sullivan: add year 2 cash flow to year 1 net cash flow

Dr. Debra Sullivan: add year 3 cash flow to year 2 net cash flow

Dr. Debra Sullivan: add Year 4 cash flow to year 3 net cash flow

Dr. Debra Sullivan: Add year 5 cash flow to year 4 net cash flow

FE002

A3 Wk4 Estimated Expenses

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