please answer a-f.

Using the financial statements from Metropolis Health System Appendix 33-A, (page 471) create a budget for the next fiscal year (see page 180). In doing your budget, make sure you review checklist 16-2 on page 186 for items to consider. You can choose whether to do a static or flexible budget. 1. items to be included in your budget: The items in the tables on pages 475, 476, 477 (see excel spreadsheet attached to assignment). Your budget is for 3 years and must be adjusted for the following a. You hire a new surgeon that will begin doing elective surgeries in year 2. This increases your surgical volume by 10% from year 1 and another 15% in year 3. Surgery patients use operating rooms and anesthesiology services b. A nearby hospital closes their OB unit and you receive an influx of new patients in year 2. This increases your OB volume by 25%, however, many are uninsured or not able to pay their bills. c. You lose half your physical therapists over a contract dispute midway through year 1 and don't get them to return by the end of year 3. d. Sevig testing is a new source of revenue for your lab and increases your volumes by 50% every year for the next 3 years e. Changes in how healthcare is delivered created unneeded and unused space in one of your buildings. Your board decides to rent it to a local nonprofit community center for $1 per year. 4. You build a new Emergency Department, and your visits increase by 25% in year 3. ED patients flow into ambulance services and radiology services and they also increase by 10% A B B 7 0 1 2 3 Lab Radiology OB-nursery Pharmacy Emergency service Medical and Surgical Operating Rooms Anesthesiology Respiratory Therapy Physical therapy Total Operating Revenue $ $ $ $ $ $ $ $ $ $ $ 7,375,000.00 5,825,000.00 450,000.00 3,175,000.00 2,200,000.00 5,050,000.00 5,250,000.00 1,600,000.00 900,000.00 1,475,000.00 43,150,000.00 5 6 7 Expenses 8 9 0 1 2 Nursing Services Other professional services General services Support services Depreciation Amortization Interest Property, Plant and Equipment Provision for doubtful accounts Total Expenses 3 4 5 6 $ $ S $ $ $ $ S $ $ 5,025,000.00 13,100,000.00 3,200,000.00 8,300,000.00 1,900,000.00 50,000.00 325,000.00 19,300,000.00 14,500,000.00 65,700,000.00 7 8 (22,550,000.00) 9 Revenue and Gains in Excesses of Expenses and Losses $ 0 1 2 3 4 5 -6 7 0000 31