Finance

An HMO requests your hospital services for its obstetrics division. It offers to pay your hospital $2,000 for a vaginal delivery without complications (DRG 373). You look at the Standard Test Procedure (STP) for this Diagnosis-Related Group (DRG) and discover that your hospital’s cost is $2,400. What will you do to obtain the contract?

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Present your work as a 2-page report in a Word document formatted in APA style.

Name your document LastnameFirstInitial_W5_A2 .For example, if your name is John Smith, your document will be named SmithJ_W5_A2

By Sunday, October 13, 2013, submit your report to the W5: Assignment 2 Dropbox.

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Assignment 2 Grading Criteria Maximum Points
Explained ways to analyze the hospital’s cost for the procedure and operational data for the procedure to identify possible cost reductions.
Calculated marginal profit for various costing profiles.
Identified and explained ways to make the contract profitable for the hospital.
Applied the correct APA style, usage, grammar, and punctuation.
Total

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