Financial Control and Planning

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PART 2: GROUP COURSEWORK SECTION 1 1. Calculate patient revenue (on an accrual basis) for the coming year. As indicated in the question, Private insurance and Self-Pay pay full charge, so we need to make a price list for these two types of payers and calculate the special price for NHS. - Oncology Program: Revenue from Private insurance = 50000*120*30% = 1,800,000 Revenue from National Health Service funded = 40,000*120*50% = 2,400,000 Revenue from Self-Pay = 50000*120*10% = 600,000 Total revenue for Oncology Program =1,800,000+600,000 +2,400,000= 4,800,000 * Cardiac Program: Revenue from Private insurance = 40000*80*20% = 640,000 Revenue from National Health Service funded = 30,000*80*60% = 1,440,000 Revenue from…show more content…
* We assume that bad debt expense vary in direct proportion to patient volume. If the patient number increased by 10%, according to the proportion stated for 240 patients in the case, there would be 132 patients in Oncology program, 88
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