Posted: August 29th, 2022

Ethics in Healthcare

Ethics in Healthcare

Apply Competency 3 Knowledge/Skill: Market Demand and Pro Forma Income Statement

In this part of the course, you will prepare a pro forma income statement for a new or revised product or service you recommend for East Chestnut Regional Health System.

Review Case Study: East Chestnut Regional Health System.

Pro Forma Income Statement for East Chestnut Regional Health:

I need help writing my essay – research paper complete the following prior to preparing the pro forma income statement and budget. You will need the following information in order to prepare it.

Part I: Market Size Calculation:

Determine the size of the market for the ECRHS product or service you are recommending. Assume East Chestnut Regional Health is located in the market in which you live or work.

Visit the University Library Consumer Demographics page.

From this page, visit the United States Census Bureau sites linked under the Demographic Data heading. A rough estimate of the need for health care products or services can be made based on the population demographics, using age, gender, and in some cases, race. On these sites, you can gain information on the total U.S. market for health care, as well as the number of U.S. consumers who fit your target market segmentation.

Determine the local market for the product or service you recommend for East Chestnut Regional Health.

Next, multiply the percentage of people likely to purchase your recommended ECRHS product or service by the estimate of market share you believe ECRHS can achieve for the product or service. For example, if there are 6,000 women who might be interested in ECRHS obstetrical services, and ECRHS has a potential 40 percent market share, this results in 2,400 patients.

Prepare a 150- to 300-word summary of your market determination process.

Part II: Breakeven Analysis:

A breakeven analysis determines the number of products or amount of service that must be sold to consumers for the organization to break even or cover the costs of production or provision of the product or service.

You will prepare a breakeven analysis for the case study client, East Chestnut Regional Health.

Use the Breakeven Analysis Worksheet to prepare your analysis.

Prepare a 150- to 300-word summary of your breakeven analysis that includes the following:

The fixed and variable costs of product production or service provision
The price and number of units sold at that price
The number of units of product or service sold to cover the fixed and variable costs at the price level

Part III: Pro Forma Income Statement:

A pro forma is an income statement that predicts income for the new or revised product or service you are recommending to East Chestnut Regional Health System (ECRHS) after one year. It shows the sales ECRHS expects to achieve during that period of time, along with the costs associated with that level of sales. The organization must cover the costs of products or services it delivers (cost of goods sold) and the expenses we estimate to achieve those sales (salaries for sales reps, advertising and promotion, office expenses, etc.). This will leave us with a projected profit.

A good pro forma income statement proves out a strategy by showing the expected revenue minus the expected costs and the resulting profit. Conversely, it shows, for example, that you can’t have $100,000 in forecast sales and $3 million in projected advertising, since that would result in a loss.

Use the Pro Forma Income Statement Worksheet to create your pro forma income statement.

Create a pro forma income statement based on the above. Get custom essay samples and course-specific study resources via course hero homework for you service – Include the following for 1 year:

Projected sales volume in units and revenue
Projected cost of goods/services
Projected marketing expenses
Projected net income

Prepare a 500-word summary statement of your pro forma income statement for East Chestnut Regional Health System for the new or revised existing product or service you have recommended. Get custom essay samples and course-specific study resources via course hero homework for you service – Include the following:

Homework help – Summary of market size calculation (150 words)
Homework help – Summary of breakeven analysis (150 words)
Homework help – Summary of projected profit (200 words)

Part IV: Marketing Plan Considerations:

Now that you have a better understanding of your market and the finances of the organization, you must consider how economics and finances can affect your marketing strategy.

Ace my homework – Write a 350- to 500-word analysis of how specific economic or financial issues will affect the marketing strategies for ECRHS.
The paper should be in Ace homework tutors – APA7 WITH VALID, VERIFIABLE sources!
I am aware the assignment is on Coursehero and Studypool, you can use those assignments as guidelines but DO NOT PLAGIARISE!! Iam checking for Plagiarism using Plagscan

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