MHC6305 WEEK 2 DISCUSSION AND PROJECT INSTRUCTIONS

MHC6305 WEEK 2 DISCUSSION AND PROJECT INSTRUCTIONS

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· Week 2 Discussion

Discussion Topic

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 Due June 10 at 11:59 PM

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Before beginning work on this discussion forum, please review the link “ Doing Discussion Questions Right ,” the expanded grading rubric for the forum, and any specific instructions for this topic.

Before the end of the unit, begin commenting on at least two of your classmates’ responses. You can ask technical questions or respond generally to the overall experience. Be objective, clear, and concise. Always use constructive language, even in criticism, to work toward the goal of positive progress. Submit your responses in the Discussion Area.

· Select two different types of HCOs and consider the most positive and most negative effects of using the cash versus accrual accounting method for the business.

· Discuss the effect of the choices on revenue recognition and matching principles.

· Compare and contrast the following items, pointing out their key elements: gross revenue and net revenue, patient service revenue and other revenue, and charity care and bad debt losses on the income sheet

To support your work, use your course and textbook readings and also use the  South University Online Library . As in all assignments, cite your sources in your work and  provide references for the citations in APA format.

Your initial posting should be addressed at 300-500 words. Submit your document to this Discussion Area by the due date assigned. Be sure to cite your  sources using APA format.

Respond to your peers throughout the Week. Justify your answers with examples, research, and reasoning. Follow up posts need to be submitted by the end of the week.

· Week 2 Project

Assignment

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 Due June 14 at 11:59 PM

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Before beginning work on this assignment, please review the expanded grading rubric for specific instructions relating to content and formatting.

 Review the following information on balance sheet analysis and business calculations:

Balance Sheet Analysis

Calculating Debt Ratio in Excel

Calculating Working Capital

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.

To support your work, use your course and textbook readings and also use the South University Online Library. As in all assignments, cite your sources in your work and provide references for the citations in APA format.

Submission Details:

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

· Submit your document to this appropriate Submissions Area by the due date assigned.