Choose ONE (1) question below to discuss and Include the question with your response.  1. Explain why cost management and cost allocation is important information for a healthcare manager?   2. What are indirect or overhead costs? Discuss one method in wh

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Choose ONE (1) question below to discuss and Include the question with your response.

  • Explain why cost management and cost allocation is important information for a healthcare manager?
  • What are indirect or overhead costs? Discuss one method in which overhead costs can be allocated?
  • What is the degree of operating leverage? What does it mean if one firm has a measure of 40% and the other has a measure of 50%, which is better?
  • Define fixed cost and provide an example of a fixed cost in a healthcare setting.
  • Define variable cost and provide an example of a variable cost in a healthcare setting.

Make sure you are properly citing your source(s) and providing your reference(s) for information you obtain from another source.

Choose ONE (1) question below to discuss and Include the question with your response.

  • What is depreciation expense and what is its purpose? What type of long-term assets are subject to depreciation and what factors are needed to calculate depreciation?.
  • What is the difference between a current and a long-term liability? Provide an example of each in the healthcare sector.
  • What is debt financing? Identify ONE advantage and ONE disadvantage of debt financing?
  • What is equity financing? Identify ONE advantage and ONE disadvantage of equity financing.
  • Why is it important to calculate the future value of a dollar borrowed today? What is the future value formula?

Make sure you are properly citing your source(s) and providing your reference(s) for information you obtain from another source.

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