Assignment: Healthcare Finance
Answer the following questions in a 3-page paper.
Page I
Generally, are Healthcare providers price setters or price takers? Explain.
Which should be used by hospitals to care for non-insured poor?
Page II
Besides using RVUs for pricing, it is becoming increasingly common to use RVUs to determine physician compensation. How do you think the use of RVUs for physician compensation will affect quality of care?
Read the article Hospital Pricing. The author does not take a very favorable viewpoint on hospital pricing.Do you think the ACA will improve the situation, or make it worse?
Page III
Describe the following methods used to estimate the cost of individual services:
i. Cost-to-charge ratio (CCR) method
ii. Relative value unit (RVU) method
iii. Activity-based costing (ABC) method
Explain the essential differences between full cost pricing and marginal cost pricing strategies.
i. What would happen financially to a health services organization over time if its prices were set at Full costs?
ii. Marginal costs
Format your assignment according to the give formatting requirements:
1. The answer must be double spaced, typed, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the assignment, the course title, the student's name, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.