Preface 

Chapter 1 – An Introduction to Health Care Accounting and Financial Management

    Do I really need to understand accounting to be effective as a manager in my health care organization?
    What is financial management?
    What are the goals of financial management within health care organizations?
    How does accounting fit into financial management?
    Key Concepts
    Test Your Knowledge
 
Chapter 2 – The Financial Environment of Health Care Organizations

    How do we get paid?
    Why do different patients pay different amounts?
    How does all this impact financial accounting?
    Key Concepts
    Test Your Knowledge

Chapter 3 – Accounting Concepts

    Basics
    Assets
    Liabilities
    Owners’ Equity / Net Assets
    The Accounting Equation
    Fund Accounting
    Generally Accepted Accounting Principles
    Key Concepts
    Test Your Knowledge

Chapter 4 – An Introduction to the Key Financial Statements

    The Balance Sheet – How much do we have and what do we owe?
    The Income or Operations Statement – How much did we make?
    The Statement of Cash Flows – Where did all our cash go?
    Notes to Financial Statements – What do the financial statements really mean?
    Key Concepts
    Test Your Knowledge

 Chapter 5 – Valuation of Assets and Equities

    Asset Valuation – How does that old building show-up on the balance sheet?
    Valuation of Liabilities – What do we really owe?
    Valuation of Net Assets and Owner’s Equity – Is it really just what’s left over?
    Key Concepts
    Test Your Knowledge

Chapter 6 – Recording Financial Information

    Double Entry and The Accounting Equation – The Golden Rule of Accounting
    Debits and Credits: The Accountant’s Secret
    Recording the Financial Events
    T-Accounts
    Chart of Accounts
    Key Concepts
    Test Your Knowledge

Chapter 7 – Reporting Financial Information: A Closer Look at the Financial Statements

    Ledgers
    Healthy Hospital’s Financial Statements
    Key Concepts
    Test Your Knowledge

Chapter 8 – The Role of the Outside Auditor

    The Audit
    Next Steps
    Key Concepts
    Test Your Knowledge

Chapter 9 – Depreciation: Having Your Cake and Eating it Too!

    Amortization
    Asset Valuation for Depreciation
    Straight-Line vs. Accelerated Depreciation
    Comparison of the Depreciation Methods
    Modified Accelerated Cost Recovery System (MARCS)
    Depreciation and Deferred Taxes: Accounting Magic
    Key Concepts
    Test Your Knowledge

 
Chapter 10 – Inventory Costing: The Accountant’s World of Make-Believe

    The Inventory Equation
    Periodic Vs. Perpetual Inventory Methods
    The Problem of Inflation
    Cost-Flow Assumptions
    Comparison of the LIFO and FIFO Cost-Flow Assumptions
    Key Concepts
    Test Your Knowledge (Web based)

Chapter 11 – An Even Closer Look at Financial Statements

    The Balance Sheet
    The Statement of Operations
    The Statement of Cash Flows
    The Notes to the Financial Statements
    Key Concepts
    Test Your Knowledge

Chapter 12 – Notes to Financial Statements: The Inside Story

    Significant Accounting Policies
    Other Notes
    Summary
    Key Concepts
    Test Your Knowledge

Chapter 13 – Ratio Analysis: How Do We Compare to Other Health Care Organizations?

    Benchmarks for Comparison
    Common Size Ratios
    Liquidity ratios
    Efficiency Ratios
    Solvency Ratios
    Profitability Ratios
    Key Concepts
    Test Your Knowledge

Chapter 14 – Working Capital Management and Banking relationships

    Working Capital Management
    Short-Term Resources
    Managing the Revenue Cycle
    Short-Term Obligations
    Banking Relationships
    Key Concepts
    Test Your Knowledge

Chapter 15 – Investment Analysis: What Should We Do Next?

    Investment Opportunities
    Data Generation
    The Payback Method
    The Time Value of Money
    The Net Present Value (NPV) Method
    The Internal Rate of Return (IRR) Method
    Project Ranking
    Summary
    Key Concepts
    Test Your Knowledge

Chapter 16 – Capital Structure – Long-Term Debt and Equity Financing

    Charitable Giving
    Common Stock
    Debt
    Preferred Stock
    Cost of Capital
    Other Elements of Capital Structure
    Dividends
    Getting Capital
    Key Concepts
    Test Your Knowledge

Chapter 17 – Case Study – Happy Hospital

    Recovering from New Year’s Eve: Is it really the start of another year?
    What Should We Do With All That Money?
    What a Busy Year! Tracking Financial Events
    Time To Close The Books
    Putting Together the End of Year Financial Statements
    How Did We Do? Using Ratio Analysis

Index