Simulation Aid Essay

1154 Words Jun 9th, 2016 5 Pages
Angie Servellon
HSC 405
Professor Joseph Shin

These paper we have to discuss the simulation paper in which we analyze the financial indicators to make a decision. In this simulation the financial accounting from Elijah Heart Center a Cardiac Care hospital having a working capital shortage ("Analyzing Financial Indicators for Decision," n.d.) and have taken a preventative evaluation on how the funding option should be used when it comes to acquiring medical equipment, and the possibility of financing expansions. In the first step of phase one simulation, I decided on what I thought was best when it came to cost cutting option to choose to solve the cash flow within the hospital. Besides selecting a loan option that would help cover any
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In the simulations, outcome comes from a capital shortage that shows a good health and the choice I made to the hospital for the facility. In simulation phase two I have chosen to decide the best strategy to acquiring new equipment for the hospital. In the new material, I saw that in the simulation the hospital needs to by a High-Speed CT scanner, an X-ray machine, and ultrasound computer system. I had to analyze the information presented to see if the hospital needed the loan to buy new or refurbish equipment. If we take a look at the new equipment or the refurbish equipment and see the advantage of new to restore equipment, I saw refurbish products were not useful for the hospital so from there I decided which lease would be better if operating or Capital, in which the capital had a better lease. From there I had a choice to choose between buying a refurbished equipment for the CT machine equipment and had a Capital lease for the X-ray machine and also rent the ultrasound system with n operating lease. By this reason, the facility would have more options for the hospital. The CT Scanner becomes obsolescent within the next five year or in less time and there the lifespan of the machine is only ten years, so that’s the reason why it is better option to buy a refurbished CT scanner and use the device for its lifespan before upgrading for a new machine. I also choose to use Operating lease because it has a lower down payment and lower monthly payment. Also,

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