Q Paper is about HMGT 322 Week 4 Discussion for cost management allocation information essential for healthcare manager Home, - HMGT 322 Week 4 Discussion HMGT 322 Week 4 Discussion The process of evaluation, analyzing, collection and reporting cost information which should be done with the received revenues is known as cost management (DRURY, 2013). It is very important for forecasting., budgeting, pricing, profitability analysis and reporting of performances. The process where the cost is allocated to services is known as the cost allocation (Bragg, 2012). For instance, it includes particulars such as the certain amount that would be paid by a patient of an insurance company for a specific procedure. The cost allocation and cost management are vital for a healthcare manager because they are the keys for the implementation of the appropriate techniques of making sure that the cost analyzing is done correctly and the amount which is assigned to the services will be apt and adequate for covering the cost of the company. In such a way, the measure of cost control can be put in the significant position for the services which will be provided. The process of raising capital by selling shares in a company or business is known as equity financing (Gompers and Lerner, 2010). In other words, it refers to the process of selling an ownership interest for raising funds for the purpose of business. Equity financing holds a broad range of scope and scale activities which includes finance raised by a businessman from family and friends as well as huge public offerings that run into billions by giants such as Facebook and Google. One of the advantages of equity financing is that the financing is very well committed to the intended project and business (NIBUSINESSINFO.CO.UK, 2018). The investment is realized by the investors only when the company performs well, for example through sale to the new investors. There are also certain drawbacks of equity financing, one of which is that it can be quite costly, demanding and time consuming for raising equity financing and it can take the focus of the management away from the primary activities of the business (NIBUSINESSINFO.CO.UK, 2018).
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