Revenue margins are the commonest measure of economic efficiency. They are often constructive (if the hospital earns a revenue) or unfavorable (if the hospital loses cash). Reported margins fluctuate relying on the measure used, how the measure is calculated, the information, accounting selections, and the way knowledge are summarized (e.g., averages vs medians). A number of different measures are additionally helpful for understanding a hospital’s monetary place, equivalent to days money available. Evaluating measures throughout hospitals may be troublesome on account of a lack of standardized reporting necessities. Discover extra key facts about hospitals and their finances.
