In healthcare, managers are required to sometimes create and manage a budget. This is integral for the day-to-day operations of the organization along with ensuring that financial acumen is used. Assume that you are the practice manager for an internal medicine practice that includes 10 providers (six medical doctors and four physician assistants [PAs]), two registered nurses (RNs), five medical assistants (MAs), and two front desk receptionists. View the following document:
 Budget Information for Year One.

Based on the information in the Budget Information for Year One document, complete the Excel spreadsheet that demonstrates the following changes in income:
·  There will be a 2% decrease in volume (volume = number of patients) annually over the next five years.

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·  Medical and office supplies will increase 2.5% annually.
·  Salaries and benefit costs will increase 5% annually.
·  Continuing education costs will remain steady each year.
·  Overhead expenses will remain steady each year.

Once you have completed the Excel document, determine how the changes above will affect the annual income.
Next, answer the following questions:

·  Based on your calculations, evaluate the proposed budget and determine if the organization will be able to sustain itself for five years. Provide a rationale for your answer.

·  Considering there is a significant loss in volume of patients each year, as the practice manager, you will need to make recommendations on where to cut expenditures. Include at least three recommendations for cutting expenses as well as in which year you believe the cuts will be most effective. Explain your rationale.

Your initial post should be a minimum of 250 words. Include your Excel document as an attachment,


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