Health care financial management is complex and an effective health care administrator must understand what makes up the foundation to financial operations.  This includes: health insurance (private and social) and reimbursements, private vs. not-for profit entities, costs and expenditures, capital, materials management, and budgeting.   Provide a substantive 150 to 250 word initial post that fully answers the following questions:

• Outline and discuss the major categories of reimbursements and costs in a health care organization.  How do they influence each other?
• In addition, how do expenses and revenues affect the specific types of budgets outlined?     

Utilize at least one scholarly source, cited in correct APA format that supports factual statements and conclusions about the topic.