Describe each of the options listing pros and cons

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• Your 25 bed rural hospital has had declining revenues for the last 5 years of 28 % per year. Current annual revenues of $12 million. Loss of $800,000 in FY 2014 and projected loss of $900,000 in FY 2015. You have had to cut several key services including a rural health clinic, home care and Geri-physic services. There are 3 other hospitals within 40 miles of your hospital.

• The independent auditor has issued an ongoing concerned opinion.

• One of the three hospitals have contacted your team about a merger. Another has called about an acquisition of your hospital. The third has offered a cash infusion in your hospital, if you recommend them and they will keep all of you except the CEO.

Describe each of the options listing pros and cons.

Reference no: EM131284783

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