caps lock shiff Anrtvas HO Budgets 147 2. The largest employer in Jones Corner, Indiana, builds travel trailers and has been battered by the current recession, reducing employment to meet the loss in sales volume. A number of families have moved away to seek employment elsewhere. Physicians Hospital in Jones Corner has experienced reductions in patient visits, and the hospital's budget manager is projecting that the hospital will not meet revenue or cash budget. You are the administrator for Physicians Hospital. You meet with the budget manager to formulate a plan of action to take to the board of directors. What budget amendments will you consider to meet the loss in revenues? r Smaller Medical Facilities Even in a successful medical facility, budgeting provides an essential early warning system of financial problems that may lie ahead. When revenues are not reaching the levels projected in the budget, the physician and practice manager can look for ways to increase revenues or take steps necessary to ensure that expenses are reduced to meet the lower revenue levels. Expenditure line items that seem to be unusually hi can be reviewed to determine the cause of the overspending and steps taken to control costs. The budgeting system will also serve to uncover employee embezzlement early Detecting these problems as they arise will allow the practice to take corrective action before the problems become critical