Why Did Health Care Facilities Need to Establish Quality Standards

question 23

Essay

Why did health care facilities need to establish quality standards in patient care? Which two organizations began to assist in establishing patient care standards in hospitals?

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Definitions:

Operating Leverage

A measure of how sensitive a company's operating income is to changes in revenue, indicating the degree to which fixed costs affect profitability.

Sales Revenue

The total amount of money received by a company from its sales of goods or services before any expenses are subtracted.

DOL

Stands for Degree of Operating Leverage, which measures a company’s sensitivity of operating income to its sales.

EBIT

Earnings Before Interest and Taxes represent a company's profit before deducting expenses from interest and income taxes.