Please, answer all prompts fully; this is an ESSAY STYLE exam designed to demonstrate depth of understanding; single sentence, single paragraph, and otherwise incomplete responses will not be accepted

Please, answer all prompts fully; this is an ESSAY STYLE exam designed to demonstrate depth of understanding; single sentence, single paragraph, and otherwise incomplete responses will not be accepted.

What is the difference between present and future value of a dollar?  Using an example you understand, explain the concept of the time value of money.

`What is debt financing? What is equity financing?  In terms of tax liability to a for profit entity, what are the advantages and disadvantages of using debt versus equity to raise capital?

What is a Budget? List and explain the advantages and disadvantages of the participatory approach to budgeting?

What is the difference between copayments and deductibles?  What is the purpose behind building them into insurance coverage plans?  Given a choice, would you rather have a high deductible or higher copayments? Explain your rationale.

What is Medicare’s hospital readmission reduction programs? Why has the federal government implemented HRRP’s? What are the risks hospitals face with respect to HRRP’s?  What can these facilities do to minimize the impact on their bottom lines?

Extra Credit; (5 points)

In light of class discussions with respect to the current political and economic climate surrounding the future of the Affordable Healthcare Act, from your own perspective, address the following concerns: Access to healthcare, quality, affordability of coverage, increasing healthcare costs, Medicare and Medical solvency, consumer choice, the role of technology in the healthcare system, and the cost of drugs to consumers, payors, and the pharmaceutical industry. Be sure to make a case in support of your recommendations, regardless of your position.