Mechanisms for Evaluating Financial
Health of Health Care Organizations
Mechanisms for Evaluating Financial Health of Health Care
Organizations
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Pearland Medical Center reported revenues of $1,500,000,000 in
2012 and $1,250,000,000 in 2013. The revenue streams comprised
25% patient self-pay revenue, 50% third-party payors revenue, and
the remaining 25% was a combination of grants from the Grant
Foundation and investments. The medical center spent
$15,000,000 in marketing for each of the past two years. The
average hospital daily patient census was 570 in 2012 and 470
patients in 2013; patient hospital days were 202,920 in 2012 and
171,500 in 2013.
Pearland Medical Center reported operating expenses of
$500,000,000 in 2012; but due to layoffs and reorganization,
operating expenses decreased by $200,000,000 in 2013.
Depreciation expense was $50,000,000 in both years. The medical
center spent $20,000,000 on research and education each year.
Executive administration anticipates little growth in patient
population in the coming year and will likely need to invest in new