Simulation Review Hcs/405

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Simulation Review Jennifer Dobelstein HCS/405 The Elijah Heart Center‘s main focus is on cardiac health. This hospital has all the necessary equipment to do all kinds of cardiovascular services for patients and doctors. This is a high end business with the patient volume rising, but there is a deficit in regards to profitability. My job is to make sure that everything runs smoothly and to provide the most up to date plans for the hospital expansion if any. The Elijah Heart Center has great patient services so therefore, it is able to continue to stay open. Although the patient care is wonderful, in the past there have been poor financial decisions that have been made that do affect the profitable spectrum of this business. That is what will be discussed below. Phase 1 Capital Shortage First off, bridging a working capital shortage is an essential strategy that can increase the hospitals revenue if a legit plan is done. When this information is received, then a suggestion is made from the Executive Board was taken into consideration before any final decision was to be made. The main focus to be considered while bringing forth a strategic plan is to understand the healthcare business as a whole. According to Baker and Baker (2009), The health care industry is a service industry. It may have…show more content…
I chose Private Bank Funding. The interest rate is slightly higher than the other options but the Net Present Value (NPV) was better than the total cost of the project. The total cost was $75,000 and the (NPV) came to $180.250. According to Baker and Baker (2012), the Net Present Value, is a discounted cash flow method. It is based on cash flows in that it takes all the cash (incoming and outgoing) into account over the life of the equipment over this life of the equipment (or if applicable, over the life of the relevant
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