Health Care Case Study: Financial Statements
Health Care Case Study: Financial Statements
Abstract
"An empowered organization is one in which individuals have the knowledge, skill, desire, and opportunity to personally succeed in a way that leads to collective organizational success,” (Covey. 2011). Financial management within a health care organization is crucial to the success and stability of the organization. In this summary financial information on Patten Fuller Hospital will be revealed. Specifically, the differences between audited and unaudited statements and reporting on the hospital's ratios will be included. Information related to the relationship on revenue sources and expenses will include how the hospital revenues and expenses are grouped for planning and control.
Audited and Unaudited Differences
During the years of 2008 and 2009 the Patton-Fuller Community Hospital’s balance sheet had some differences with the patient accounts of about $1,000,000. The discrepancies between the two amounted to $1,000,000; these discrepancies would be the audited statement that equaled to $58,787,000 and the unaudited statement in 2009 that amounted to $59,787,000 (Patton-Fuller Community Hospital, 2011). Then there were discrepancies on the Statement of Revenue and Expenses of about 1,000,000 during 2009. The discrepancies between the two that amounted to $1,000,000 would be the audited statement that equaled to $14,797,000 and the unaudited statement in 2009 that amounted to $13,797,000 (Patton-Fuller Community Hospital, 2011). The net income for the audited statement is 373,000 and, the unaudited is 627,000.
Effect’s of Revenue Sources on Financial Reporting
A company’s revenue comes from a variety of sources, including the sales of goods interests on loans, and income from renting or leasing. Accountant’s first record revenue in informal accounting ledgers to track capital as it comes into the company. Information ledgers are transferred to more formal, official financial statements. The
Abstract
"An empowered organization is one in which individuals have the knowledge, skill, desire, and opportunity to personally succeed in a way that leads to collective organizational success,” (Covey. 2011). Financial management within a health care organization is crucial to the success and stability of the organization. In this summary financial information on Patten Fuller Hospital will be revealed. Specifically, the differences between audited and unaudited statements and reporting on the hospital's ratios will be included. Information related to the relationship on revenue sources and expenses will include how the hospital revenues and expenses are grouped for planning and control.
Audited and Unaudited Differences
During the years of 2008 and 2009 the Patton-Fuller Community Hospital’s balance sheet had some differences with the patient accounts of about $1,000,000. The discrepancies between the two amounted to $1,000,000; these discrepancies would be the audited statement that equaled to $58,787,000 and the unaudited statement in 2009 that amounted to $59,787,000 (Patton-Fuller Community Hospital, 2011). Then there were discrepancies on the Statement of Revenue and Expenses of about 1,000,000 during 2009. The discrepancies between the two that amounted to $1,000,000 would be the audited statement that equaled to $14,797,000 and the unaudited statement in 2009 that amounted to $13,797,000 (Patton-Fuller Community Hospital, 2011). The net income for the audited statement is 373,000 and, the unaudited is 627,000.
Effect’s of Revenue Sources on Financial Reporting
A company’s revenue comes from a variety of sources, including the sales of goods interests on loans, and income from renting or leasing. Accountant’s first record revenue in informal accounting ledgers to track capital as it comes into the company. Information ledgers are transferred to more formal, official financial statements. The