Healthcare is expensive. It takes an enormous amount of capitalto secure the necessary resources to finance the care deliverycontinuum. The cost and sources of that capital is critical tobeing able to understand the cost of conducting business in generaland also forms the basis on which future projects can be evaluatedon a quantitative basis (e.g., capital budgeting, lease financing,etc.).
For this discussion, do the following: Consider you aredetermining which type of financing to be used for a new project inyour hospital. Your hospital is doing financially well and hasmoney that can be used for financing—it also has a top creditrating that could be used for debt financing as well. Review thepros and cons of each financing opportunity. Discuss your selectionfor financing which would be optimal for your hospital. Why did youchoose this option?