Metropolis Health System Statement of Revenue and Expense for the Year Ended March 31, 2 Revenue...

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Metropolis Health System Statement of Revenue and Expense for the Year Ended March 31, 2 Revenue Net patient service revenue Other revenue Total Operating Revenue Expenses Nursing services $34,000,000 1,100,000 $5,025,000 Other professional services 13,100,000 General services Support services 3,200,000 8,300,000 $35,100,000 Support services 8,300,000 Depreciation Amortization Interest 1,900,000 50,000 325,000 Provision for doubtful accounts 1,500,000 Total Expenses Income from Operations Nonoperating Gains (Losses) Unrestricted gifts and memorials $20,000 Interest income 80,000 33,400,000 $1,700,000 Income from Operations Nonoperating Gains (Losses) Unrestricted gifts and memorials $20,000 Interest income Nonoperating Gains, Net Revenue and Gains in Excess of Expenses and Losses 80,000 $1,700,000 100,000 $1,800,000 Exhibit 15-2 Checklist for Building a Budget 1. What is the proposed volume for the new budget period? 2. What is the appropriate inflow (revenues) and outflow (cost of services delivered) relationship? 3. What will the appropriate dollar cost be? 3a. (Note: this question requires a series of assumptions about the nature of the operation for the new budget period.) Forecast service-related workload. 3b. Forecast non-service-related workload. 3c. Forecast special project workload if applicable. 3d. Coordinate assumptions for proportionate share of interdepartmental projects. 4. Will additional resources be available? 5. Will this budget accomplish the appropriate managerial objectives for the organization? Metropolis Health System Statement of Revenue and Expense for the Year Ended March 31, 2 Revenue Net patient service revenue Other revenue Total Operating Revenue Expenses Nursing services $34,000,000 1,100,000 $5,025,000 Other professional services 13,100,000 General services Support services 3,200,000 8,300,000 $35,100,000 Support services 8,300,000 Depreciation Amortization Interest 1,900,000 50,000 325,000 Provision for doubtful accounts 1,500,000 Total Expenses Income from Operations Nonoperating Gains (Losses) Unrestricted gifts and memorials $20,000 Interest income 80,000 33,400,000 $1,700,000 Income from Operations Nonoperating Gains (Losses) Unrestricted gifts and memorials $20,000 Interest income Nonoperating Gains, Net Revenue and Gains in Excess of Expenses and Losses 80,000 $1,700,000 100,000 $1,800,000 Exhibit 15-2 Checklist for Building a Budget 1. What is the proposed volume for the new budget period? 2. What is the appropriate inflow (revenues) and outflow (cost of services delivered) relationship? 3. What will the appropriate dollar cost be? 3a. (Note: this question requires a series of assumptions about the nature of the operation for the new budget period.) Forecast service-related workload. 3b. Forecast non-service-related workload. 3c. Forecast special project workload if applicable. 3d. Coordinate assumptions for proportionate share of interdepartmental projects. 4. Will additional resources be available? 5. Will this budget accomplish the appropriate managerial objectives for the organization?