Please answer questions 1 and 2 at the bottom.

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Read Case 3, Charitable Contributions and Debt: A Comparison of St. Jude Children's Research Hospital/ALSAC and Universal Health Services in the Mastery of the Financial Accounting Research System (FARS) Through Cases book.

Write a response of 700 to 1,050 words in which you address the following questions from Case 3, Charitable Contributions and Debt: A Comparison of St. Jude Children's Research Hospital/ALSAC and Universal Health Services:

• Requirement A, 1-4.
• Requirement B, 1-2.
• How would your answers to Requirements A and B differ if the government owned and operated the hospital?

  Requirement B: Revenue Mix (Strategy-Related Considerations)

  The 10-K filing of Universal Health Services, Inc. describes the mix of revenue sources, as depicted in Table 5.3-3.

  Table 5.3-3: Patient Revenue Mix

  	PERCENTAGE OF NET PATIENT REVENUES
  	2000	1999	1998	1997	1996
  N/A-Not available (Source: 10-K filed 3/28/2001)
  Third Party Payors
  Medicare	32.3%	33.5%	34.3%	35.6%	35.6%
  Medicaid	11.5%	12.6%	11.3%	14.5%	15.3%
  Managed Care (HMOs and PPOs)	34.5%	31.5%	27.2%	19.1%	N/A
  Other Sources	21.7%	22.4%	27.2%	30.8%	49.1%
  Total	100%	100%	100%	100%	100%

• 1. How does this revenue mix compare with the revenue blend of the not-for-profit entity, St. Jude Childrens Research Hospital (ALSAC)? Access the latest SEC filing and compare the reported revenue mix; has it changed?
• 2. What does that imply as to the strategies of investor-owned hospitals in managing risk and ensuring adequate capital relative to not-for-profit entities? An opportunity exists to explore the greater social and political questions that are frequently debated about the compatibility of profit-oriented entities and quality of health care, relative to not-for-profit entities. As background, identify what the latest SEC filings report concerning charity care.