Chat with us, powered by LiveChat You are a staff member in the finance department at Nouveau Health, whose sole responsibility is to advance the success of the organization through assisting in planning, forecasting, and f - Writeedu

You are a staff member in the finance department at Nouveau Health, whose sole responsibility is to advance the success of the organization through assisting in planning, forecasting, and f

You are a staff member in the finance department at Nouveau Health, whose sole responsibility is to advance the success of the organization through assisting in planning, forecasting, and finance management.

The budget from Unit 1 (now Unit 4 budget spreadsheet); did not take into account the growth of the new facility. The CEO has asked that you expand that budget and provide a finalized budget that will take into account the new services offered. The CEO has stated that there is $3 million that you can incorporate into the budget for additional staffing, services, maintenance, and so forth.

Complete the following 2 part assignment:

  • Part I: Complete the Operational budget spreadsheet (see attachment Unit 4 HCM410_Budget)
    • Disperse $3 million dollars amongst budget rows with no dollar amount in the 'Revised 2022' Column. – See the example below
  • Part II: Prepare next year’s financial plan narrative 2-3 pgs.
    • Explain why the specified dollar amount was allocated to the corresponding budget line. How that money will be spent and how it will benefit the new facility. – See the example below

Ex. (Part I) Original 2022 Inpatient Budget 27,500,000/ Revised 2022 Inpatient Budget 28,255,000. 

Ex. (Part II) The reason/logic for the increase in the inpatient budget is due to orthopedic surgery department improvements. 

The use of APA 7 style is expected. Students are required to reference at least 2 scholarly sources for this task.

2021

KRONA HOSPITAL OPERATING BUDGET FOR 2022
Revenues
Inpatient $ 25,000,000
Outpatient 15,000,000
Emergency Room 10,000,000
Laboratory 5,000,000
Pharmacy 1,500,000
Home Health and Hospice 1,500,000
Ambulance Services 950,000
Substance Abuse 250,000
Other 850,000
Subtotal $ 60,050,000
Less Chartiy Care 18,000,000
Net Revenues $ 42,050,000
Expenses
Payroll (including nursing salaries) $ 12,500,000
Benefits 3,000,000
Contract Labor 100,000
Insurance 300,000
General Services (laundary, security, etc) 3,000,000
Depreciation 1,500,000
Interest Expense 300,000
Professional Services 10,000,000
Total Operating Expenses $ 30,700,000
Net Income $ 11,350,000

2022

KRONA HOSPITAL OPERATING BUDGET 2021 2022 Revised 2022
Revenues Disperse three million dollars amongst budget rows with no dollar amount in the 'Revised 2022' Column. In Part II of this assignment explain why specified dollar amount was allocated to the corresponding budget line. Ex. (Part I) Original 2022 Inpatient Budget 27,500,000/ Revised 2022 Inpatient Budget 28,255,000. (Part II) Reason/logic for increase is due to orthopedic surgery department improvements.
Inpatient $ 25,000,000 $27,500,000
Outpatient 15,000,000 $17,250,000
Emergency Room 10,000,000 10,000,000
Laboratory 5,000,000 5,000,000
Pharmacy 1,500,000 1575000
Home Health and Hospice 1,500,000 1725000
Ambulance Services 950,000 950,000 950,000
Substance Abuse 250,000 250,000 250,000
Other 850,000 850,000 850,000
Subtotal $ 60,050,000 $65,100,000 $2,050,000
Less Chartiy Care 18,000,000 18,000,000 18,000,000
Net Revenues $ 42,050,000 $47,100,000 -$15,950,000
Expenses
Payroll (including nursing salaries) $ 12,500,000 $13,750,000
Benefits 3,000,000 3,000,000
Contract Labor 100,000 100,000
Insurance 300,000 300,000
General Services (laundary, security, etc) 3,000,000 3,000,000
Depreciation 1,500,000 1,500,000
Interest Expense 300,000 300,000 300,000
Professional Services 10,000,000 10,000,000
Total Operating Expenses $ 30,700,000 $31,950,000 $300,000
Net Income $ 11,350,000 $15,150,000 -$16,250,000

Sheet3

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