Financial Resource Management in Healthcare (C428) questions with correct answers

Accounting - Answer The measure and recording of events that reflect the operations, assets, expenses, and other financing of an organization. Breakeven Analysis - Answer Determines the point when the investment in the project will generate a positive return. Business Manager or SBU Manager - Answer The manager responsible for the finance function in a small healthcare organization, such as a medical practice with one or a few clinicians. Call Provision - Answer Gives the issuer the right to redeem the bonds before maturity under specified terms. A business will call a bond issue and refund it if interest rates fall sufficiently after the bond has been issued. Capital Investment Analysis - Answer Involves analyzing potential expenditures on land, buildings, and equipment and deciding whether or not the organization should undertake those investments. 4 Steps: 1. Estimate the expected cash flows. 2. Assess the riskiness of those flow. 3. Estimate the appropriate opportunity cost of capital.