An online coaching program has been developed for patients with borderline hypertension. A total of 100 patients are randomized to receive the coaching, and 100 patients serve as control subjects. The start-up cost of the coaching program is $2,000 for software, hardware, and office supplies. A part-time nurse is hired for the program, with a salary of $15,000 plus 20% fringe benefits. The cost per year per patient for medication is $1000. It has been shown that for the first year after beginning the program, 90% with coaching were not considered hypertensive (normal or borderline blood pressure) and 10% were prescribed medication to control their blood pressure. In the control group (no coaching), 70% were not considered hypertensive after 1 year and 30% were prescribed blood pressure medication. Patients in the coaching group continue to receive coaching even if they are prescribed medication. Assuming that these probabilities are constant for the next 4 years, and assuming a 3% discount rate, answer the following questions on the cost-benefit of the program. Begin discounting in year 2; do not discount in year 1. Completed the table of costs for the participants in the coaching program. Highlight or circle the 5-year total cost for the program, with and without discounting. Year Patients without Hypertension (n) Patients with Hypertension (n) Start-Up Cost before discounting Start-Up Cost after discounting Salary Cost before discounting Salary Cost after discounting Medication Cost before discounting Medication Cost after discounting Total Costs Before Discounting Total Costs After Discounting 1 100 0 $2,000 $2,000 $15,000 + 20% $18,000 $0 $0 $20,000 $20,000 2 90 10 $0 $15,000 + 20% $1,000 x 10 $28,000 3 81 19 $0 $15,000 + 20% $1,000 x 19 $37,000 4 73 27 5 66 34 Total
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
An online coaching program has been developed for patients with borderline hypertension. A total of 100 patients are randomized to receive the coaching, and 100 patients serve as control subjects. The start-up cost of the coaching program is $2,000 for software, hardware, and office supplies. A part-time nurse is hired for the program, with a salary of $15,000 plus 20%
It has been shown that for the first year after beginning the program, 90% with coaching were not considered hypertensive (normal or borderline blood pressure) and 10% were prescribed medication to control their blood pressure. In the control group (no coaching), 70% were not considered hypertensive after 1 year and 30% were prescribed blood pressure medication. Patients in the coaching group continue to receive coaching even if they are prescribed medication.
Assuming that these probabilities are constant for the next 4 years, and assuming a 3% discount rate, answer the following questions on the cost-benefit of the program. Begin discounting in year 2; do not discount in year 1.
Completed the table of costs for the participants in the coaching program. Highlight or circle the 5-year total cost for the program, with and without discounting.
|
Year |
Patients without Hypertension |
Patients with Hypertension |
Start-Up Cost before discounting |
Start-Up Cost after discounting |
Salary Cost before discounting |
Salary Cost after discounting |
Medication Cost before discounting |
Medication Cost after discounting |
Total Costs Before Discounting |
Total Costs After Discounting |
|
1 |
100 |
0 |
$2,000 |
$2,000 |
$15,000 + 20% |
$18,000 |
$0 |
$0 |
$20,000 |
$20,000 |
|
2 |
90 |
10 |
$0 |
$15,000 + 20% |
$1,000 x 10 |
$28,000 |
||||
|
3 |
81 |
19 |
$0 |
$15,000 + 20% |
$1,000 x 19 |
$37,000 |
||||
|
4 |
73 |
27 |
||||||||
|
5 |
66 |
34 |
||||||||
|
Total |
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