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Health Care Manage Rev. 1983 Summer;8(3):7-15.

Capital budgeting and cost reimbursement in investor-owned and not-for-profit hospitals.


Net present value estimates cannot be made in health care finance without the appropriate cost reimbursement adjustments. The results of new regulations could radically alter the effects of reimbursement on capital budgeting. Debates on the effects of cost reimbursement on decision making in hospitals will continue as long as reimbursement exists in a manner that affects operating cash flows or the cost of capital.

[Indexed for MEDLINE]

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