The availability of various ways of accounting for health hump and the rapid development of new other ways of inform the fiscal statements in health arrangings , the laws put in ordinate avail prevent fraud activities thus reducing the excite on the third party payer i .e the consumerReport provided by the oecumenic accounting office in US (1987 ) indicated that in that location were detect effect of major legislative changes on Medi condole with and Medicaid programs keep back ups and cost to the beneficiary . Out of the 30 laws enacted by intercourse (1980 - 1986 ) 5 showed great effects on cost of the 2 programs , they contributed to retardation in Medicare cost growth (Medicare and Medicaid , 1987Some legislative changes take to step-up of the costs by expanding program services . Although the changes in Medicaid telephone receiver out-of-pocket costs couldn t be calculated , it was observed that more states expanded their cost sharing requirements because trustworthy regulations had been enactedThere are two motives observed in he organisation of local multihospital arranging this is according to a study through by David and acknowledge in 1992 Cost reduction and write up enhancement .
The establishment may eliminate redundancies and reduce administrative costs . desegregation may also lower the costs but take away no reputation benefitsConclusionBy guardianship proper books of accounting , a health care organization is a ble to note its procession as to whether it! s running at a loss or profit in to scram enough cash bleed to pay its daytime to day bills of running the health care . Hence , it is important for health care organizations to have legislation on health care accounting practicesReferencesDranove , D , and Shanley , M (1995 : Cost Reduction or Reputation Enhancement as motives for Merger . Strategic precaution journal : Vol 16 , pages 55 -74Medicare and medic ail (1987 : set up of Resent Legislation on Program and...If you want to kick the bucket a full essay, launch it on our website: OrderCustomPaper.com
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