More Subjects
Economic Dynamics Of Health Care Delivery Models
Economic Dynamics of Health Care Delivery Models
Your Name
Institution
Economic Dynamics of Health Care Delivery Models
Section A
We are provided with 2 million dollars for business improvement. This fund will be used in upgrading office equipment. Cost-benefit analysis cost of direct and indirect expenses, then the expenses are compared with the benefit. Moreover, if the project is justified, the decision of starting a project is finalized CITATION DPe06 \l 1033 (D Pearce, 2006).
Step 1 Assign a monetary value to both direct and indirect costs.
Direct Cost
Sr.No
Equipment
Unit cost
Number of Units
Total cost
1
functional desk
500
240
$120,000.00
2
Chairs
100
720
$72,000.00
3
Cabinets
200
480
$96,000.00
4
Shelves
375
480
$180,000.00
5
Table for conference room
1200
3
$3,600.00
6
Projector
1000
3
$3,000.00
7
cubicles
700
180
$126,000.00
8
Computers
1000
240
$240,000.00
9
Printer
800
60
$48,000.00
10
Scanner
250
240
$60,000.00
11
Fax machine
750
24
$18,000.00
12
Phones
100
220
$22,000.00
13
Whiteboard
100
18
$1,800.00
14
Security system
6400
1
$6,400.00
15
Internet connectivity
8100
1
$8,100.00
16
Paper shredder
375
40
$15,000.00
17
Copier
1400
12
$16,800.00
18
Lights
20
500
$10,000.00
19
Central air conditioning
60000
1
$60,000.00
20
Refrigerator
970
6
$5,820.00
21
Microwave
480
4
$1,920.00
22
Lab
200000
2
$400,000.00
23
Van
60000
4
$240,000.00
24
Miscellaneous
$245,560.00
total
$2,000,000.00
Indirect cost
Indirect cost includes delivery of these products and some additional cost that may arise which are not catered in the above table. These expenses will be covered in miscellaneous.
Expected Benefit
Making improvement in office equipment will be very beneficial to the organization. Some of the benefits are written below:
Expansion and outreach
Increase efficiency
Saving time
Cost effective in the long run
One-stop solution for HIV patients
Cost and Benefit Comparison
Total direct indirect cost
= 2,000,000 $
Anticipated benefit in 6 years
= 3,750,000 $
Profit
= 1,750,000 $
Make a Decision
Upgrading office equipment provides a positive rate of return in the long run. According to the financial and economic analysis of this up gradation project, the payback period of this investment will be 5.7 years.
Section B
We are provided with 8 million $ for preventive services. The program will facilitate 4000 residents. The fund will be spending us the period of 2 detail of which is given below:
Sr. No.
Programs details
Cost
1
Seminars
$1,370,000.00
2
Workshops
$97,000.00
3
Sex education campaigns
$250,000.00
4
broachers
$500,000.00
5
therapy
$678,000.00
6
purchasing condoms
$400,000.00
7
media marketing
$2,300,000.00
8
Mobile labs
$1,000,000.00
9
pother prevention kits
$575,000.00
10
Pay expert speakers
$100,000.00
11
Miscellaneous
$730,000.00
Total
$8,000,000.00
By initiating this project, the outreach of the organization will increase.
Section C (HIV Testing)
Sooner a patient realized that he has HIV, sooner he will start his treatment. HIV testing services ensure that the diagnosis is right CITATION DRH95 \l 1033 (DR Holtgrave, 1995). The HIV testing is effective in identifying the victim which may have HIV and may not know about it. HIV identification can limit the disease from further escalating in society. Moreover, timely treatment can also control the spread of disease and its effects on the patients.
References
BIBLIOGRAPHY D Pearce, G. A. (2006). Cost-benefit analysis and the environment: recent developments.
DR Holtgrave, N. Q. (1995). An overview of the effectiveness and efficiency of HIV prevention programs. Public Health.
More Subjects
Join our mailing list
© All Rights Reserved 2023