Download e-book for kindle: Accounting Fundamentals for Health Care Management by Steven A. Finkler

By Steven A. Finkler

ISBN-10: 0763726753

ISBN-13: 9780763726751

ISBN-10: 0763761435

ISBN-13: 9780763761431

Accounting basics for overall healthiness Care administration is the suitable textual content for an introductory direction in monetary administration in either undergraduate and graduate courses. As such a lot classes concentrate on simple accounting, this is often the 1st publication that makes a speciality of easy accounting. All instance and purposes during this publication are particular to the sector of healthiness care. This publication is an important for a person with a division and the cheap.

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Unfortunately, because the items on one side of the equation increase with debits and the items on the other side decrease with debits, and vice versa for credits, it can take a while before it becomes second nature. Imagine a product manager trying to explain to an accountant that a new product is going to generate extra cash of $100,000. ” If you still find debits and credits to be somewhat confusing, don’t be overly concerned. Trying to look at things from a mirror image of what you’ve been used to all your life isn’t easy.

THE BALANCE SHEET—HOW MUCH DO WE HAVE AND WHAT DO WE OWE? The statement of financial position, more commonly referred to as the balance sheet, indicates the financial position of an organization at a particular point in time. Basically, it illustrates the basic accounting equation (Assets = Liabilities + Net assets) on a specific date, that date being the end of the accounting period. The accounting period ends at the end of the organization’s year. Most organizations also have interim accounting periods.

Our basic equation at the start of 2008 is as follows: A = L + NA $300,000 = $134,000 + $166,000 To examine financial events during the year, we are interested in the change in this equation. As explained, the change in the equation may be stated as follows: ∆A + ∆E = ∆L + ∆R Table 6-1 Healthy Hospital Balance Sheet As of December 31, 2007 Assets Current assets Cash Accounts receivable Inventory Total current assets $104,000 36,000 40,000 $180,000 Fixed assets Plant and equipment Total assets $300,000 Dr.

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Accounting Fundamentals for Health Care Management by Steven A. Finkler

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