Writers Den

SHOW ALL WORK- And all calculations

Determine the
amount of net operating income that would result for a hospital whose payer mix
and expected volume (100 cases) is as follows:

(1)

30 Medicare cases		pay $2,000 per case
30 Blue Cross Blue Shield cases		pay $2,200 per case
20 commercial cases		pay 100 percent of charges
10 Medicaid cases		pay average cost
8 self-pay cases		pay 100 percent of charges
2 charity cases		pay nothing
Average cost per case is expected to be $2,200, and the average charge per case is $2,500

(1)

1.
Calculate
Gross patient revenue and deductions from gross patient revenue.

2.
Define
revenue

3.
Define
fee for service, discounted fee for service, charity services, and payment
before service is delivered. ( all written assignments must be in APA
format)

(3)

Time Value of
Money (TVM)

Calculate the
Future Value of $1 in each of these 3 projects

TVM Exercise

Project
Number of periods
Interest
rate

Pop
5
11%

Whistle
4
7%

Loop
3
8%

(4)

Calculate the
Present Value of each of the Projects below:

Project
End of period
Discount
rate
Single cash Flow

Pop
5
11%
$10,000

Whistle
15
7%
7,500

Loop
25
8%
5,000

Income Statement Preparation:

(5)

Prepare an Income Statement, in proper format, for
2015 for Johnson Medical Supplies (JMS) from the following information:

·
Salaries
$70,000

·
Insurance
$700

·
Utilities
$3,500

·
Gas/Auto
$5,750

·
Office
Supplies
$7,250

·
Revenue
$175,000

·
Rent
$12,000

·
Maintenance
$50,000

(6) Calculate, define, and discuss the operating expenses, operating
profit, and profit percentage.

Did JMS have a good year? Why/Why not?