If you were assigned to prepare a capital expenditure budget request to add a retail pharmacy in the hospital, which two individuals from your department(s) would you want to have on your team to help you? How would you utilize them to help you? Justify your response and include a minimum of one scholarly reference to support your answer. Respond to at least two of your classmates’ posts.
If I were assigned to prepare a capital expenditure budget request in order to add a retail pharmacy in the hospital, one individual that I would require for support would be the Chief Financial Officer (CFO) because this person would have access to information needed such as the company’s financial condition that is needed to decide how to invest the companies money taking into consideration any risks and liquidity. To support my position, in the class book Baker (2011) states that a chief financial officer of an organization is usually responsible for guiding decisions about any proportion of debt. Since the chief will take into account various sources of capital I suppose that the CFO will help make good financial decisions.
Another individual that I would ask to help in preparing a capital budget would be the accounting manager, because I would need someone to assist with the pricing of services and other important decision making matters of the pharmacy. Baker states that managerial accounting is the planning and control of operations and related performances, and the strategic planning and other intermediate and long term decision making represent an additional use of managerial accounting.(pg7) Since accountants deal with the transactions of a business, and are concerned about the future, they are important individuals in projecting outcomes and preparing budgets.
Baker, J. J. & Baker, R. W. (2011). Health Care Finance, Basic Tools for Nonfinancial Managers (3rd ed.). Sudbury, MA: Jones & Bartlett...