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Life Lessons

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Axia College Material
Appendix E

Financial Officer Interview

Directions: Conduct the following interview with a financial officer of a health care organization (space has been provided for any additional questions you might have). Once the interview has been completed, answer the questions in Part II.

Part I: Interview Questionnaire
1. Briefly describe your current position and its duties and responsibilities. Accounts Receivable, Accounts Payable, Reconcile Bank Accounts, Submit Financial Statements at month end to CPA
1. What are the revenue centers for your organization? Patients, Private Insurance, Medi-Cal, Medi-Care.
2. What types of centers (departments) have budgets? Research & Development
1. How many cost centers are there? Can you give some examples? Research: Study Patients, Study Rx, Study Patient Physician Consultants
1. How important is it to control costs? CRITICAL
1. How are fixed costs separated from variable costs? Fixed costs are paid regularly on a monthly, quarterly or annual basis. Variable costs require approval.
1. How are variable costs handled? They are sent to the department manager for confirmation of order, receipt of items, and payment approval.
1. What method of cost allocation do you use in your organization (Direct allocation, step-down allocation, double or multiple distribution, or reciprocal)? What are the advantages and disadvantages of using that particular method? The method would be direct allocation. Income &...

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