You are the CFO of Regional Healthcare, a holding company that has two operating divisions; an acute care hospital and a HMO. There has been tension between the two divisions regarding HMO pricing to the hospital. If the hospital is successful in negotiating above market rates from the HMO, what will happen to the holding company's overall profit?

Answer rating: 100% (QA)

If the hospital is successful in negotiating abovemarket rates from the HMO it could have both positive and negative implications for the holding comp... View the full answer