Problem 1: Health care organizations strive to manage working capital in such a way that they can reliably cover their short-term expenses while also getting the best possible benefits from their capital. In managing working capital, health care organizations face some common challenges, as well as other challenges that are particular to the institution. What challenges would a for-profit facility that has a constant stream of revenue face in managing its capital? How would these challenges differ from a military hospital that is given its funding at the beginning of the year?
Problem 2: In an health care organization what are the various challenges it might face in managing its working capital. What techniques or policies can it implement to effectively manage their working capital?