Explore BrainMass
Share

Explore BrainMass

    Fullhealth and Annual Operating Budget

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Fullhealth must prepare its annual operating budget for all lines of business. Divide the budget sections amongst its members and agree upon any necessary basics for a coordinated effort. Study all submissions and collaborate to write an executive summary. Prepare the annual operating budget summary including all lines of business. Prepare a budget for each line of business. The lines of business include a health plan, three long term care assisted living facilities, and two home healthcare agencies. Make sure the budgets for each line of businesses are properly proportionate to the overall budget. They need to be 8 to 10 pagers per section.FullHealth Home Health Agencies
    FullHealth Hospital - Phase 2 Task 2 IP
    Budget - January - December Projected
    FY 2007 FY 2008 Dollar Percent change
    Actuals Budget Variance Variance

    REVENUE

    Premium Collections
    Other Revenue
    Total Revenue $52,122,000 6% increase

    Deductions form Revenue

    Total Net Revenue

    OPERATING EXPENSES

    Salaries- Nurses $1,200,000 5% increase
    Wages - Regular
    Wages - Overtime
    Wages - Other

    Employees Benefits

    Total Salaries and Wages $1,200,000

    Supplies - Office
    Supplies - Other
    Equipment Lease and Rental
    Data Processing Fees
    Repairs and Maintenance
    Utilities
    Insurance
    Taxes
    Depreciation
    Facility/Office Lease
    Dues and Subscription
    Travel
    New Improvements $100,000 $300,000
    Total Operating Expenses

    TOTAL PROFIT/LOSS
    FullHealth Assistant Living
    Budget - January - December Projected
    FY 2007 FY 2008 Change
    Actuals Budget

    REVENUE 20% increase

    Residential Revenue $55,573,735
    Other Revenue $70,548
    Total Revenue $55,644,283

    Deductions form Revenue $9,984 8% increasre

    Total Net Revenue $55,634,299

    OPERATING EXPENSES

    Salaries $6,879,883 4% increase
    Wages - Regular $4,318,688
    Wages - Overtime $11,295 3% increase
    Wages - Other $8,098

    Employees Benefits $709,175

    Total Salaries and Wages $11,927,139

    Supplies - Office $49,960 3% increase
    Medical Supplies $31,478 5% increase
    Supplies - Other $12,530
    Equipment Lease and Rental $43,360 2% increase
    Data Processing Fees $36,888 2% decrease
    Repairs and Maintenance $28,555 3% increase
    Utilities $105,895
    Insurance $54,937
    Taxes $30,100
    Depreciation $32,895
    Facility/Office Lease $38,255 2% increase
    Dues and Subscription $15,230
    Travel $42,789 4% decrease

    Total Operating Expenses $11,740,836

    TOTAL PROFIT/LOSS $43,707,160

    Fullhealth Corp Total Budget
    Budget - January - December Projected
    FY 2007 FY 2008 Change
    Actuals Budget

    REVENUE 20% increase

    Inpatient Revenue $166,721,200
    OutPatient Revenue $55,573,735
    Other Revenue $70,548
    Total Revenue $222,365,483

    Deductions form Revenue $65,500,000 8% increasre

    Total Net Revenue $156,865,483

    OPERATING EXPENSES

    Salaries $6,879,883 4% increase
    Wages - Regular $4,318,688
    Wages - Overtime $11,295 3% increase
    Wages - Other $8,098

    Employees Benefits $1,709,175

    Total Salaries and Wages $12,927,139

    Supplies - Office $249,960 3% increase
    Medical Supplies $5,031,478 5% increase
    Supplies - Other $12,530
    Equipment Lease and Rental $143,360 2% increase
    Data Processing Fees $36,888 2% decrease
    Repairs and Maintenance $128,555 3% increase
    Utilities $105,895
    Insurance $254,937
    Taxes $30,100
    Depreciation $132,895
    Facility/Office Lease $38,255 2% increase
    Dues and Subscription $15,230
    Travel $142,789 4% decrease

    Total Operating Expenses $19,250,011

    TOTAL PROFIT/LOSS $137,618,472

    FullHealth Home Health Agencies
    Budget - January - December
    FY 2007 FY 2008 Projected
    Actuals Budget Change

    REVENUE 15% increase

    Outpatient Revenue $2,967,432
    Other Revenue $6,448
    Total Revenue $2,973,880

    Deductions form Revenue $297,388 3% increase

    Total Net Revenue $2,676,492

    OPERATING EXPENSES

    Salaries $429,788 4% increase
    Wages - Regular $133,186 4% increase
    Wages - Overtime $9,007 2% increase
    Wages - Other

    Employees Benefits $97,237

    Total Salaries and Wages $669,218

    Supplies - Office $23,566 3% increase
    Supplies - Other $12,530 2% increase
    Equipment Lease and Rental $0
    Data Processing Fees $15,111 4% increase
    Repairs and Maintenance $9,959 5% increase
    Utilities $22,566
    Insurance $13,535
    Taxes $15,555
    Depreciation $17,635
    Facility/Office Lease $0
    Dues and Subscription $0
    Travel - mileage $82,789 3% increase

    Total Operating Expenses $882,464

    TOTAL PROFIT/LOSS $1,794,028

    FullHealth Health Plan
    Budget - January - December Projected
    FY 2007 FY 2008 change
    Actuals Budget

    REVENUE 11% increase

    Premium Collections $33,573,735
    Other Revenue $60,448
    Total Revenue $33,634,783

    Deductions form Revenue $8,476,466 4% increase

    Total Net Revenue $25,158,317

    OPERATING EXPENSES

    Salaries $4,297,883 4% increase
    Wages - Regular $3,318,688 3% increase
    Wages - Overtime $9,007
    Wages - Other $8,098

    Employees Benefits $609,175 3% increase

    Total Salaries and Wages $8,251,858

    Supplies - Office $49,960 4% increase
    Supplies - Other $12,530
    Equipment Lease and Rental $43,360 5% increase
    Data Processing Fees $36,888 5% increase
    Repairs and Maintenance $28,555
    Utilities $105,895
    Insurance $54,937
    Taxes $30,100
    Depreciation $32,895
    Facility/Office Lease $251,564 4% increase
    Dues and Subscription $15,230
    Travel $42,789 3% decrease

    Total Operating Expenses $8,956,561

    TOTAL PROFIT/LOSS $16,201,756

    © BrainMass Inc. brainmass.com October 10, 2019, 12:05 am ad1c9bdddf
    https://brainmass.com/business/leasing/fullhealth-annual-operating-budget-278375

    Solution Preview

    The response addresses the queries posted in 1941 words with references.
    // In this paper, we will discuss about the Full health Corporation's operating budget. Before discussing the budget, a descriptive executive summary is presented in a paragraph given below. The executive summary is essential part of the learning.//

    Executive Summary

    This paper is based on the Full Health Corporation's operating budget. The operating budget is very necessary for the internal control of organization. The objective of this paper is to analysis of budgets by making them. The Corporation has Diversified business line. Full Health Corporation has three business lines. In the series of discussion, the operating budgets of business line are discussed. The business line deals in health planning of individual. Second business line is a long term care assisted living facilities, which has three units and third line of business is the Home Health Care Agencies.

    In the first part of the operating budget, the revenues of the business lines are discussed. The revenue is forecasted with proper analysis. After that, the expenses of every business lines are explained in detailed. Every business line has its own expenses. They are not same for every business units. Some values of expenses are different from actual expense of 2007 because of management's perception. The profits of all business lines are fluctuated in different ratio according fluctuation of revenue and expense.

    The operating budget of first business line is made on the previous data. The operating budget is for 2008. It is based on the 2007's actual revenues and expense. For determining the budgeted revenues figurers for 2008, the revenue of the 2007 is increased according to forecasting. For calculating the expense, the same procedure is used. In the 2008 budget, significant changes are made. The budget of 2008 for Health Planning is determined more than previous year's actual expense. In the calculation of expense, expenses are not increased or decreased. Some expense may be fluctuated are changed over the previous year' expense. Other parts of expense are same as 2007's expense.

    The second line of business is long term care assisted living facilities. The operating budget of 2008 is based on 2007's actual expense. In the operating budget, the project profit is also calculated. The calculation of budgeted revenue is made using 2007's revenue. Corporation expects that the revenue of the company will increase in 2008. The forecasted revenue is more than actual revenues of 2007. The expense of 2008 is more than incurred actual expense. Some expenses are similar to the 2007 because it is assumed that they will not be increased in the future. Some expenses are found to be varied from 2007's actual expense.

    After the second business line, the operating budget of the third business line Home Health Care Agencies is discussed. In this budget, the same concept is applied, which is used in other business line's operating budget. Further, the total budget of the corporation is also made. It is prepared using all operating budgets of the business lines .In the last part of the paper; the summary of the operating budgets is completed. It comprises of all operating budget's revenues and expense (Bragg, & Burton, 2006).

    // Now, we will move to another part of the assignment. Under this part of the assignment, we will make operating budget for 2008 of Full Health Corporation. The operating budgets of all business units of Full Health Corporation is also discussed.//

    1).

    Full Health Home Health Plan

    Operating Budget for 2008

    Particulars
    Actual 2007
    Changes
    Budgeted 2008
    ...

    Solution Summary

    The response addresses the queries posted in 1941 words with references.

    $2.19