Write a paper of 500-750 words that explains the relationship between finance and accounting, and how they operate to determine financial viability within a health care organization.

Write a paper of 500-750 words that explains the relationship between finance and accounting, and how they operate to determine financial viability within a health care organization.

MODEL ANSWER

Finance and accounting are interrelated, as they are both critical components for decision making in a business. The two are relevant in health care organizations because they help managers to evaluate the going concern of a business as well as understanding financial risks and operations. For instance, accounting deals primarily with the identification, recording, classification, summarizing, and reporting of financial transactions to relevant stakeholders to help them make better decisions (Hackbarth & Gamble, 2017). Accounting also ensures that an organization has accurate and timely financial information to ensure the smooth and efficient running of the business. Finance, on the other hand, deals majorly with making investment decisions in the organization. Finance assist the organization to develop plans and strategies for long-term investment goals and objectives. Finance also help to choose the feasible projects to implement among many alternatives hence avoiding future investment losses (Ward & Calabrese, 2018). Determining the financial viability…