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Part 1: Develop the Budget Worksheet For Part 1 of this Assessment, you will develop a sample budget for the healthcare product or service you have proposed

Part 1: Develop the Budget Worksheet

For Part 1 of this Assessment, you will develop a sample budget for the healthcare product or service you have proposed. You will also apply ratios to analyze the budget and provide information that can guide choices. To do this:

1) Review the Learning Resources, particularly those on creating budgets.

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2) Open the  FE_workbook_firstinitial_lastname.xlsx file you created in FE001 and used in FE002.

3) Navigate to the  A4 Budget Development worksheet.

4) Create a 5-year budget for the healthcare product or service that records the projected expenses and revenues associated with the healthcare product or service you have proposed. Be sure to include startup and operating expenses in your budget.

5) Develop formulas or functions that calculate the following:

a) The  total estimated startup expenses (those occurring in Year 0) for your product or service. Be sure to label each appropriately, with enough description to make it clear what the item is and any necessary details regarding sources of revenues (including reimbursements).

b) The  total estimated expenses and costs per year and for the 5-year period for your product or service

Note “Total estimated expenses” should match those you presented on the  A3 Estimated Expenses worksheet.

c) The  payback period for your product or service idea

Note : The values used for this calculation, including estimated revenues, should match those you presented on the  A3 Estimated Expenses  worksheet.

d) Include any other ratios or other analyses that you believe will strengthen your business case or help inform the decision-making process.

Part 2: Summary of Analysis and Interpretation of Results

For Part 2 of this Assessment, you will describe your budget and analysis. To do this:

1) Create a brief (1- to 2-page) description in a Word document of your budget and analysis. Your description should clearly describe the budget.

2) During the course of 5 years, is there an estimated surplus or deficit?

3) What percentages of the budget are dedicated to various categories you have defined, such as startup costs, etc.?

4) What does this budget mean for your organization?

5)  Save and  submit your assessment.

 

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