The document analyzes the financial viability of a community health center called Arroyo Fresco Community Center (AFCC) in producing a new service. It examines AFCC's strategy to finance, measure revenue, and expenses. AFCC has a net patient service revenue of $169,013 with total annual revenues of $186,092 and expenses of $168,232, resulting in a net income of $17,860. The document recommends that AFCC use its financial viability to improve existing services and create a new service. It suggests decreasing costs for the new service while increasing revenue to generate profit. Analyzing variances can improve performance and maintaining growth through different business dimensions.

1. Arroyo Fresco Community Center
(AFCC)Case Study Analysis
Presented by
Modupe Sarratt
For the Analysis of financial viability to produce a new service

2. Strategy for how to finance a new service
• Description of how strategy will be executed and measured for
financing, revenue, and expenses

3. MEASURING FINANCING
Financing is the process for sustaining and re-
engineering an organization for profitability with creating a
model of OASIS, to measure a gap in a service for an
improvement.

4. MEASURING REVENUE
Measuring revenue is identified by
the organization’s assets.
Performance is measure in term of
relative units or departments
Since 2005, Arroyo Fresco Community Center measure on performance
has been the best-or near the best-among state to consistent with its
mission to serve patients regardless of their ability to pay (Scott, 2017).

5. MEASURING EXPENSES
Measuring expense is
done by budgeting.
The expense helps to analyze a new service for
a problem
Identifiable by cost of a new service or project
for financing resources
That may include reducing financial risk for
projecting revenue
One of the strategic goals is to include “supply
chain for marketing” (McGuinn 2016)

6. The AF Revenue Snapshot & Financial Statement
for financing a new project or service
Net Patient Service Revenue $169,013
Operating Revenue: 7,079
Non-Operating Income 10,000
_________
Total Revenues: $186,092
Expenses:
Salaries and benefits: $126,223
Supplies: 20,568
Insurance: 4,518
Lease: 3,189
Depreciation: 6,405
Provision for bad debts: 2,000
Interest: 5,329
Total Expenses: $168,232
__________
Net Income: 17,860

7. RECOMMENDATION FOR A NEW SERVICE
With a Net Income for a budget project of a
new patient service to yield a profit for $17,860
will not hurt an organization with more than
million in revenue.
The goal of net income or profit is to be
financially viable to produce a new product

8. RECOMMENDATION FOR A NEW SERVICE
(CONT)
The analysis variances are the financial
management tools for improving an
organization performance with operating
budget
Businesses that maintain growth do so for
having different dimensions for business plan

9. Recommendation on how to improve the
outcome of a new service for a profit
Arroyo Fresco Community Health Center is organization
with more than million in revenues.
The strategy is using the financial viabilities of Arroyo
Fresco to improve performance of services and to create
a new service to increase in revenue with two
approaches:
• First, the cost of a new service to decrease expenses
• Second, to estimate the revenue to increase net
income from a new service.
• This two approaches help to determine what need to
be done to improve old services as well to generate a
net income from a new service for profitability.

10. References
• Bacon, J., Moody, K., & Yao, W. (2002). A Model of OASIS Role-Based Access Control and its Support for
Active Security. ACM Transaction on Information and System Security (TSSEC) 5(4), 492-540
• Cengage Learning. (2015). Case Studies. Retrieved from
http://college.cengage.com/business/resources/casestudies/students/overview.htm
• McGuinn, J. (2016). Compliance is supply chain’s business too: Buidling a more secure chain. Management in
Healthcare, 1(3), 276-285.
• Scott, L. (2017). 2017 Arroyo Fresco Community Health Center Case Study.