Also, explain how utilization rates are related to volumes and revenue generation. Peer Response 1: Paula Stroshine posted Discussion 3: Cost Accounting Health care financial managers use financial resources and cost classifications to allocate indirect cost to direct cost when determining patient charges. The first concept to be discussed is the operating cost which provides services to the patient that visits the emergency room Nowicki, The emergency room will need equipment so that the financial manager would have to borrow http://rectoria.unal.edu.co/uploads/tx_felogin/benjamin-franklin-s-theory-of-life-and/cyanide-electron-transport-chain.php and this concept is called non operating cost Nowicki, The concept wgu nursing portfolio direct cost is directly traced to a department including supplies and labor.
Indirect costs are the overhead costs Nowicki, Here is an example of how indirect cost can be allocated to the direct cost.
Physical Development - Its Connection to Other Areas of Development
In the vascular surgery area where cardiac catheterizations procedures are performed the direct cost would be the medications, machines to do the procedure, and the clinical staff to perform the surgery. The indirect cost includes the cleaning personal, the lighting, and the appropriate temperature for the machinery used wgu nursing portfolio the procedure. The financial manager for the department would include read article indirect cost for each procedure in the budget which includes the time that it takes to clean the nurisng room after the procedure and the time the electricity and the lighting was needed.
This would be included in the budget.
In the end the patient will go to the telemetry ward over night to be monitored for any complication. The nurse manager on the ward accepts the patient from the cardiac catheterization unit for observation status.
The observation status may not work for all patients that need hospitalization. Nurse managers must be familiar with the budgeting process. This is difficult since you cannot count the quality of care in the ward or clinic budget. Hospitals and healthcare organizations must prepare for utilizations declines with the health care reforms. The nurse manager must watch the sgu and staff the ward accordingly.
Physical Child Development Essay
Nurses may be asked to take low census days. Furthermore, nurse managers and financial manager work together to bring the budget together for that unit. Feng, Z. Sharp rise in medicare enrollees being held in hospitals for observation raises concerns about causes and consequences. NCBI, 31 6 Introduction to the financial management of healthcare organizations 7th ed.
Discussion: Prior Proper Planning Prevents Poor Performance
Chicago: Health Administration Press. Samaris, D. Healthcare Financial Management, Peer Response 2: Renata Jankowski posted Healthcare financial managers utilize several methods of cost classification when performing accounting and management functions at their facility. Identifying costs can be done through their traceability Nowicki, While direct costs can be traced directly to department, product, or service, indirect costs cannot be traced to one specific area or cause. These are wgu nursing portfolio overhead costs, such as the heating or cooling throughout a facility. Another way financial managers can classify wgu nursing portfolio is through behavior as it relates to the volume of products or services.
This includes variable and fixed costs, semi-variable costs, and marginal costs Nowicki, This process ensures that patients only pay for the costs of the services and products they receive. An example of allocating costs for an extra service that an organization provides is the use of the interpretation services through language line solutions. Before being connected to a certified interpreter, the program requests a 4 digit billing code that is unique to each unit. This helps the organization offset certain costs with differed distributions.]