Problem:
- You are working in the finance department at a large, for-profit hospital in a city.
- Your duties involve budgeting, managing the general ledger accounts, utilizing financial formulas to perform accounting activities, and training and development of your three subordinates.
- Because of scarce resources, you must choose between two projects (I.e., Build a Rehab. Center or Build a Neonatal Wing).
- Create a financial analysis of these projects and based on Net Present Value (NPV), Return on Investment (ROI), and Profitability Index (PI).
- Describe NPV, ROI, PI and payer (case) mix and their use/value in assessing the validity of the two projects.