Question 1.
A firm has the following accounts:
Net patient revenue = $1,500,000
Supply expense = $200,000
Depreciation expense = $100,000
Salaries and benefits = $700,000
Other expenses = $200,000
Net accounts receivable = $150,000

What is the net income for the period?
$150,000
$50,000
$500,000
$850,000

Question 2.
A hospital issues $20 million in bonds and $60 million in equity to finance a new project.
Its targeted debt to equity ratio is:
50%
33%
200%
300%

Question 3.
Which of the following statements about accounts receivable and inventory is true?
They are both considered current assets
They are both considered expenses
They are both excluded from current assets
They are both considered current liabilities
Total revenue outpaces total avoidable fixed costs

Question 4.
An imaging center has the following information:
Revenue per test: $225
Variable cost per test: $150
Total fixed costs: $225,000
Estimated number of tests = 3,500
Calculate the a) Contribution Margin; b) Total dollar contribution margin; and, c) Contribution Margin
percentage. (Show your work to support your response)

Question 5. Your hospital has the following revenue for the months of July-September: July $3,000,000 August
$2,500,000 September $4,000,000. If 30% of the month's revenue is collected in the same month, 40% is
collected in the second month and 30% is collected in the third month, how much of July's revenue is
collected in August? (Show your work to support your response)

Question 6. Explanation: Accounts receivables can constitute more than 50% of a healthcare organization's current assets. Managing accounts receivables is critical to the cash flow of the organization. If you were a billing
manager what should you consider when implementing credit and collection policies?
(Hint: Provide an example of a financial report then explain in detail the steps in the financial analysis process). (Minimum word count 200 words. APA references are required to support your response)

Question 7. A competitive hospital maintains current equipment and purchases new in order to stay current with
the latest technology. If you were evaluating the capital budget performance of a hospital what factors
would you consider justifying taking on more debt to purchase new equipment for a surgical unit? Minimum word count 200 words. APA references are required to support your response)

Question 8. Examine a BALANCE SHEET and/or INCOME STATEMENT (of any company) then CALCULATE and EXPLAIN: ROI, Acid Ratio (Current Ratio), and Debt to Equity Ratio. [Please show your work to get partial credit]
(Minimum word count 200 words. APA references are required to support your response)

Question 9. Explain in detail some of the biggest environmental challenges of the future for healthcare financial managers. (Minimum word count 200 words. APA references are required to support your response)