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Identify the most salient vulnerabilities associated with key assets within sectors. Please choose one sector and one asset associated with the chosen sector
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Elements of Financial Management
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Elements of Financial Management
Prior to beginning work on this discussion, read Chapters 2 and 3 in
your course textbook, which cover the four elements of financial
management. Additionally, you will need to read the What is GAAP? (Links to an external site.) web page and review the An Overview of Management Accounting (Links to an external site.).In healthcare, managers are required to sometimes create and manage a
budget. This is integral for the day-to-day operations of the
organization along with ensuring that financial acumen is used. Assume
that you are the practice manager for an internal medicine practice that
includes 10 providers (six medical doctors and four physician
assistants [PAs]), two registered nurses (RNs), five medical assistants
(MAs), and two front desk receptionists. View the following document: Budget Information for Year One.Based on the information in the Budget Information for Year One document, complete the Excel spreadsheet that demonstrates the following changes in income:
There will be a 2% decrease in volume (volume = number of patients) annually over the next five years.
Medical and office supplies will increase 2.5% annually.
Salaries and benefit costs will increase 5% annually.
Continuing education costs will remain steady each year.
Overhead expenses will remain steady each year.
Once you have completed the Excel document, determine how the changes above will affect the annual income.Next, address the following:
Based on your calculations, evaluate the proposed budget and
determine if the organization will be able to sustain itself for five
years. Provide a rationale for your answer.
Considering there is a significant loss in volume of patients each
year, as the practice manager, you will need to make recommendations on
where to cut expenditures. Include at least three recommendations for
cutting expenses as well as in which year you believe the cuts will be
most effective. Explain your rationale.
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Excel document as an attachment, and cite the textbook as well as the
required resources listed in the directions using APA format
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