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River Community Hospital

River Community Hospital

River Community Hospital

  1. Complete all the reading assignments for this course (all 5 modules) prior to beginning work on this assignment. These readings have a direct relation to the case.
  2. Read Case 24: River Community Hospital (A), Assessing Hospital Performance, on pp 159-160 of Pink and Song (2018) (Links to an external site.).
  3. Write a written report to the hospital’s board of trustees (following APA format) detailing answers to the following:
    • Interpret the hospital’s statements of cash flows.
    • Present an overview of the hospital’s financial position using the Du Pont equation as a guide.
    • Use ratio analysis to identify the hospital’s specific financial strengths and weaknesses. Note: The board is not going to appreciate a lengthy dialogue with too many individual ratios. Focus on key findings and one or two ratios per category – don’t put them to sleep! Also, use graphs or other techniques to summarize the data.
    • Use operating indicator analysis to identify the operational factors that explain the hospital’s current financial condition.
    • Summarize your evaluation of the hospital’s financial condition. However, don’t just rehash the numbers; rather, present your views on the potential underlying economic and managerial factors that might have caused any problems that surfaced in the financial and operating analysis.
    • Make any recommendations that you believe the hospital should follow to ensure future financial soundness.
  4. Prepare your assignment for submission:
    • Follow all applicable APA Guidelines (Links to an external site.) regarding in-text citations, list of cited references, and document formatting for this paper. Failure to properly cite and reference sources constitutes plagiarism.
    • The title page and reference list are not included in the page count for this paper.
    • Proofread your assignment carefully. Improper English grammar, sentence structure, punctuation, or spelling will result in significant point deductions.


For Book Chapters:

Louis Gapenski. (2016). Healthcare Finance: An Introduction to Accounting and Financial Management, Sixth Edition: Vol. Sixth edition. Health Administration Press.

For Pages 159-160 documents:

G. Pink, and P. Song (2018). Gapenski’s cases in healthcare finance, sixth edition: Sixth edition. Health Administration Press.

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