Purchase Solution

Health Care Time Value of Money

Not what you're looking for?

Ask Custom Question

In 2010 Lilliputian County Hospital's total patient revenues were $15 million. In 2019 patient revenues are expected to be $30 million. What is the compound growth rate in patient revenues over this time period?
Shawnee Valley Family Practice Center plans to invest $30,000 in a money market account at the beginning of each year for the next five years. The investment pays 8 percent annual interest. How much would this investment be worth after five years of investing?

Midstate Medical center is starting an endowment fund to pay for the expenses of a medical research program. The expenses are $1,000,000 per year, and the program is expected to last ten years. Assuming payments are made at the end of each year and the interest rate is 8 percent per year, what should be the initial size of the endowment?

Goldfarb Cancer Research Institute just received a $3 million gift to cover the salary for a permanent research scientist in perpetuity to study Hodgkin's disease. What would be the required rate of return on the investment if the position paid an annual salary of: a. $75,000 per year? B. $100,000 per year? C. $125,000 per year?

Attachments
Purchase this Solution
Solution Summary

This solution illustrates how to determine the growth rate of an investment, the rate of return required to attain a certain goal, the future value of a lump-sum, and the present value of a perpetuity.

Purchase this Solution
Free BrainMass Quizzes
Basics of corporate finance

These questions will test you on your knowledge of finance.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.

View More Free Quizzes
Related BrainMass Solutions

  • Acton's Elasticity Estimates: Time Costs and Demand

    In other words, as time cost of money composes a greater amount of the total cost of the visit, it becomes the most important consideration of patients. They will demand much less health care if travel time is greater and the visit is free.

  • This post discusses the effect of the dollar on health care.

    The depreciation causes an economic situation where the same amount of money can be used to buy more health care services, as compared to before the value of the U.S. dollar fell, in which case that same amount of money could not pay for the same amount

  • Pitney Bowes: Employer Health Strategy

    This added a value to the company as it saved them a great deal of money. Another valued added was that for employees. Employees noted that many of the onsite clinics offered by Pitney Bowes were "their only source of primary care.

  • Health Care Delivery Systems

    ., technology increases early diagnosis of disease) and treatment, the healthcare money is absorbed, this leaving less money for health education.

  • Healthcare related economics and accounting

    The solution discusses a number of questions relating to just-in-time management, leasing, and health care organizations.

  • Healthcare Economics MCQs

    If you were going to lend money to a health care organization for a 90-day period, which one of the organization's ratios would you focus on: b. Current ratio.

  • Michael Porter's Five Forces Model

    Appraise the value and importance of Michael Porter's Five Forces Model as a tool for facilitating the understanding and addressing of the competition within the health care industry.

  • The Value of Prevention in Health Care

    The foundation of a community will eventually corrode without self-care and prevention, which puts the value and need for public health at an elevated level.

  • Quality of Health Care in the Mental Health System

    585900 Quality of Health Care in the Mental Health System Once a solution has been decided, it is time to plan its implementation.

  • Postive and Negative Aspects of Managed Care

    The group of health care providers band together on providing health care that will save money for the employers that offer health insurance to their employees.

View More Related Solutions