Which government program would be considered an entitlement program quizlet?
Entitlement programs: Programs that guarantee a specific level of benefits to persons who meet requirements set by law. Social Security, Medicare, Medicaid, food stamps, unemployment insurance, and veterans’ pensions and benefits are the largest entitlement programs.
What are the two broad categories of welfare programs?
American social welfare, thanks to Franklin Delano Roosevelt and the Social Security Act of 1935, is furthered currently by two major categories of cash support programs: social insurances and public assistance.
Who among the framers of the Constitution noted that no issue was more likely to provoke conflict that how society’s resources are distributed?
James Madison
What is a major difference between an operating budget and a capital budget?
Operating budgets pay for day to day expenses. Capital budget pays fo major capital, or investment, spending.
What is an operating budget in healthcare?
In the healthcare industry, an operating budget is the forecasted expenditures and revenues for the coming year. As the year goes on, hospital leaders and supply chain managers may adjust purchasing and other spending to ensure the actual budget aligns with the original projection.
How are operating budgets financed?
It includes all cash flows from operating activities, capital investments, and changes in equity. That financing can be sourced through cash balance, bank loan, or equity finance. Either way, the decision will impact the cash flow for the business, financial budgeting includes all of these cash flows.
What is the largest part of a budget in a health care organization?
*Healthcare organizations provide services to healthcare consumers and personnel account for the largest part of the operating budget. *Staffing is the major area that nurse managers can affect with respect to managing costs.
Why are budgets important in healthcare?
Specifically for the health sector, it ensures that funds flow to the priority services and enables the purchasing of health services to be operational. By making explicit the purposes and results of budget spending, budget managers can also be held to account by the legislature and citizens.
How are budgets used in healthcare?
A budgeting process allows an organization to better understand which funds can be spent on a certain project or section, and how much spending should be allotted to each. Creating a sound capital budgeting process in healthcare allows for more useful investments and less room for error in purchasing.
What are the most common types of budget variances found in health care organizations?
11-13The most common type of budget variances used in health care organizations are volumeand ratefor revenues, and volumeand cost for expenses. 11-14 Cost variancemay be due to a number of factors including utilization, case mix, price, quality, and efficiency.
What is the most common source of variances?
The Most Common Variances The actual price paid for materials used in the production process, minus the standard cost, multiplied by the number of units used. Labor rate variance. The actual price paid for the direct labor used in the production process, minus its standard cost, multiplied by the number of units used.
What is a flexible budget in healthcare?
Flexible budgeting involves deploying software that enables hospitals to prepare their budgets using revenues and expenses per unit of service. “It can really become much less of a grind if many of these organizations change their budget paradigms.”
What you can afford method?
a simple method of determining a budget (for advertising, etc) in which the amount allocated is the amount that can be afforded; also called the What-We-Can Afford Method, the Affordable Method and the Arbitrary Method.