33. Accounts receivable management. Assume there are two physician groups, Lower Merion Physician Group and Penncrest Medical Practice, and both groups have contracts with two major health plans.

a. Use the information that follows to compute Lower Merions days in accounts receivable, aging schedule, and accounts receivable as a percentage of net patient revenues for Health Plan A and for Health Plan B for quarter 1, 20X2. Compare the two health plans to determine which plan is a faster payor. (Hint: For simplicity, assume that each month is thirty days. Dollar figures are expressed in thousands.)

Health Plan A, Quarter 1 20X2	Mar	Feb	Jan	Quarter
Days outstanding	1-30	31-60	61-90	1-90
Net accounts receivable	$2,520	$600	$280	$3,400
Net patient revenues	$6,300	$3,000	$700	$10,000
Health Plan B, Quarter 1 20X2	Mar	Feb	Jan	Quarter
Days outstanding	1-30	31-60	61-90	1-90
Net accounts receivable	$1,680	$600	$1,120	$3,400
Net patient revenues	$4,200	$3,000	$2,800	$10,000

b. Use the information below to compute Penncrests days in account receivable, aging schedule, and accounts receivable as a percentage of net patient revenues for Health Plan A and for Health Plan B for quarter 1, 20X2. Compare the two health plans to determine which plan is a faster payor. (Hint: For simplicity, assume that each month is thirty days. Dollar figures are expressed in thousands.)