Assignment: Application: Basic Financial Calculations

Before you learned algebra, you first had to learn basic addition, subtraction, multiplication, and division. Similarly, before you can fully understand the finances of a health care organization, you first need to be able to apply basic financial calculations used in almost all domains of accounting. A firm grasp of these accounting concepts will better enable you to confidently make budgetary and resource decisions. In this Assignment, you complete calculations that will familiarize you with some of the necessary basic accounting concepts.

Based on the information and financial statements below, calculate the following financial ratios in an Excel Spreadsheet:

• Current Ratio

= Total Current Assets / Total Current Liabilities

• Days of Cash on Hand

= Cash / (Total Operating Expense / 365 days)

• Age of Accounts Receivable

= Accounts Receivable / (Net Patient Service Revenue / 365)

• Age of Physical Plant

= Accumulated Depreciation / Depreciation Expense

• Debt to Equity Ratio

= [Long Term] Debt / Net Assets

• Debt to Assets Ratio

= [Long Term] Debt / Total Assets

• Collection Rate

= Net Patient Service Revenue / Gross Patient Service Revenue

• Operating Margin Ratio

= Gain or (Loss) from Operations / Net Patient Service Revenue

Note: For those Assignments in this course that require you to perform calculations you must:
Use the ‘Week 3 Application Assignment Template’ from your Learning Resources
Show all your calculations and formulas in the spreadsheet

A title and reference page are NOT needed in this assignment. Put your name and assignment at the top of the Excel spreadsheet.

For those not comfortable with the use of Microsoft Excel, this week’s Optional Resources suggest several tutorials.

To prepare:

• Review the information in this week’s Learning Resources dealing with ratios and how they are calculated.
• View the Week 3 Application Assignment Tutorial: Ratio Calculations, (video) provided in this week’s Learning Resources.
• Use the Week 3 Application (Scenario) Assignment Template, provided in this week’s Learning Resources, to complete this assignment.  
• Review the Statement of Revenues and Expenses in the Week 3 application (scenario) assignment template. With the information, calculate the financial ratios. 

Spreadsheet attached

Baker, J. J., Baker, R. W., & Dworkin, N. R.  (2018). Health care finance: Basic  tools for nonfinancial managers (5th ed.). Burlington, MA: Jones and  Bartlett Learning.
Chapter 4, “Assets, Liabilities, and Net Worth” (pp. 33-36)
In this chapter, you are introduced to the meaning of assets, liabilities, and net worth. You explore the relationship between the three and how they must be balanced if an organization is to be successful.
Chapter 6, “Expenses (Outflows)” (pp. 47-54)
The focus of this chapter is expenses and how they differ from costs. It highlights how costs should be reported and how expenses can be grouped for more effective planning and control.
Chapter 9, “Understanding Inventory and Depreciation Concepts” (pp. 81-93)
This chapter examines the relationship between inventory and the cost of goods. It demonstrates how to calculate inventory turnover and product depreciation.
Chapter 11, “Reporting as a Tool” (pp. 119-125)
This chapter describes the basic financial reports and how they are used in financial decision making. The four key financial statements are the balance sheet, the statement of revenue, and expense, the statement of fund balance or net worth, and the statement of cash flows. 

Zelman, W., McCue, M., & Glick, N. (2009). Financial management of health care organizations: An introduction to fundamental tools, concepts, and applications (3rd ed.). Hoboken, NJ: Jossey-Bass.
Retrieved from the Walden Library databases.
Chapter 2, “Health Care Financial Statements” (pp. 25–86)
This chapter describes the shared four basic financial statements of all organizations. The authors relate the basics to business-oriented and non-for-profit health organizations.
Chapter 3, “Principles and Practices of Health Care Accounting” (pp. 87–120)
This chapter explores the accounting practices and principles of health care. The authors detail the rules for recording transactions and the process of recording and developing financial statements.
Chapter 4, “Financial Statement Analysis” (pp. 121–186)
This chapter goes into detail about the three types of analysis used in financial statements of health care organizations: horizontal analysis, vertical (common-size) analysis, and ratio analysis. This chapter also explains the categories of ratios and how to apply them.

 

"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"

 AG

Develop a wellness program with a holistic approach for the older adult you have identified, using resources available in your community. Discuss how this approach will prove an optimum level of well-being.

      Mrs. T>T. age 67 who is presently diagnosed with Diabetes Mellitus, and has a hx of obesity, and non-healing wounds/ulcers. Non-compliance with medication and dietary regimens has caused Mrs. T.T.’s blood sugars and wound healing to be compromised. Getting this patient on the right track to facilitate a healthier way of eating which in turn would help with the wound healing process, decrease her HGB A1 ,and  promote weight loss. Maintaining and conforming to a healthier eating plan and exercising at least three times a week should boost her wellness. Mrs. T>T’s efforts to conform to these lifestyle changes will not be in vain if the end result increases her longevity as well as her quality of life. First lab values should be obtained to get a baseline. Secondly, teaching her how to accurately and frequently obtain her blood glucose level and how and when to use her insulin is a fundamental part of this wellness process. Providing education as well as demonstrating healthier ways to prepare food is a vital component as it relates to wellness.  Mrs. T>T. should be taught how to dress her wounds as well as being able to detect, if any new wounds are present and when to contact the physician or wound nurse. Information on various exercise groups with individuals her age will hopefully make Mrs. T>t. look forward to the activity for social and health conscious reasons. An optimum level of wellness should be evident through maintaining health Hgb A1C levels, weight loss, and adherence to her medication regimen as it related to her Diabetes Mellitus diagnosis.

 

"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"

 

Discussion Question

There are many types of elder abuse. Choose two types and discuss challenges you perceive in abolishing them. Justify why you consider them as the most crucial. Discuss how you can advocate and protect the elderly from abuse.

 

"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"

 

Discussion Question

Identify two strategies you can implement to provide comfort to maintain function with an ethnically diverse older adult with a chronic disease? This can be nutrition, ADLs, exercise, etc.

 

"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"

 

original question:

 Identify two strategies you can implement to provide comfort to maintain function with an ethnically diverse older adult with a chronic disease? This can be nutrition, ADLs, exercise, etc. 

MY ANSWER:

The management of chronic conditions is becoming an integral part of medical care in most parts of the world. The elderly, in particular, are living with one or more chronic illnesses for very long periods. Access to care is not easy, given that most of them are not insured. The situation gets worse when the patient is from an ethnical minority background. Since it can be hard to reach such patients, the first strategy that both the medical staff and the care givers of the patient should put in place is fostering positive communication. Putting a lot of focus in disease prevention, health promotion and early detection is a very effective strategy for enduring successful chronic disease management. This is especially helpful for the frail seniors (Hitchcock, 2016).  It is, therefore, important for the care givers to listen carefully, show compassion and work with the patient to ensure care goals.

            The second strategy would be to embark on a patient-centered approach. Such an approach is supposed to be responsive to, and respectful of, the preference, needs and values of the patient. Physicians should never make assumptions about the treatment option that the patient would choose. Rather, they should discuss also the available options. Doctors should also recognize when such senior patients need help in managing their chronic illness (Iecovich, 2018). Again, it may be important to carefully watch the interactions between different medications that are used to treat different conditions. The physicians and the patient should further come up with an action-plan and always keep it up to date.

While caring for the elderly patients can pose a big challenge for physicians, it does not mean that it is an impossible mission. With the right strategies in place and with the coordination of the doctors, the patients and their caregivers, it will be easier to manage such chronic conditions.

teacher question

  Would this approach be different for a patient of a different age range? 

 

"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"