Compare and contrast operating, capital, and cash budgets for a hospital.

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There are several different types of budgets that are used in healthcare to help hospital administrators manage the finances of their hospital. Operating budget refers to the general overview of all income and expenses in a given year. Because this is a short-term budget, it doesn't look at the long-term forecast of the hospital. A more long-term budget can be seen from the capital budget, which looks at funding that the hospital receives and allocates these funds to different projects. This can be a difficult thing to budget for in healthcare because there are often so many different areas where hospital administrators could allocate funds, such as research and clinics, and to different departments within the hospital. Hospital administrators thus often have to decide where the funds could best be used to help the most amount of people going forward. Cash budget has to do with the reviewing the cash flow of the hospital, which is suggested to be done on a monthly basis to ensure the hospital has enough liquidated funds.

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