The availability of various ways of accounting for wellness experience and the rapid development of new other ways of describe the fiscal statements in health make-ups , the laws put in shopping mall avail prevent fraud activities thus reducing the issue on the third party payer i .e the consumerReport provided by the oecumenic accounting office in US (1987 ) indicated that on that point were detect effect of major legislative changes on Medi caution and Medicaid programs build up ups and cost to the beneficiary . Out of the 30 laws enacted by social 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 direct to step-up of the costs by expanding program services . Although the changes in Medicaid telephone receiver out-of-pocket costs couldn t be thrifty , it was observed that more states expanded their cost sharing requirements because plastered regulations had been enactedThere are two motives observed in he ecesis of local multihospital arranging this is according to a study do by David and acknowledge in 1992 Cost reduction and story enhancement .
The establishment may eliminate redundancies and reduce administrative costs . desegregation may also lower the costs but take away no reputation benefitsConclusionBy charge proper books of accounting , a health care organization is able to note its procession as to whether it s ! running at a loss or profit in to set about enough cash bleed to pay its daylight 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 charge journal : Vol 16 , pages 55 -74Medicare and medic ail (1987 : do of Resent Legislation on Program and...If you want to cleave a full essay, launch it on our website: OrderCustomPaper.com
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