Hi, need to submit a 500 words essay on the topic Health Services Finance.
Moreover, the wages for the casual workers in the expansion process will also be categorized as direct cost. This example is justifiable since the cost expensed in paying salaries and wages in the expansion process will entirely benefit the expansion project. Indirect costs are services or activities that benefits more than one object (Wei-Yu, Dilip, and James 41). It is almost unfeasible to relate the indirect cost to a particular object. A good example of an indirect cost in Chiropractor organization includes the salaries of permanently employed managers who oversee operations in more than one organization’s branch. It is sometimes difficult to relate how these organizational managers directly benefit a particular branch.
The responsibility center in Chiropractor organization is incredibly indispensable and valuable. The organization has decentralized its operations to create efficient responsibility centers. Chiropractor has three main responsibility centers that include: investment, profit, and cost (Merkley 41). Cost responsibility center manager has the responsibility of relating the expenses incurred in an organization to the available revenues. Profit responsibility center is mandated with the responsibility of generating revenue from cash outlays. A profit responsibility center is expected to meet the set profitable goals in the organization. Finally, investment responsibility center’s main role is to manage other responsibility centers. Additionally, the investment center has an obligation of managing the organization’s assets. The other supplementary responsibility of the investment center entails regulating returns on invested resources.
The Chiropractor community has over the year’s experienced endless environmental catastrophes such as earthquakes and other artificial and natural accidents that interfere with their daily operations. This has as a result led to significant loss of lives and property (Chrysanthus 137). However, to counter