title: Combining accounting approaches to practice valuation.
abstract: Healthcare organizations that wish to acquire physician or ambulatory care practices can choose from a variety of practice valuation approaches. Basic accounting methods assess the value of a physician practice on the basis of a historical, balance-sheet description of tangible assets. Yet these methods alone are inadequate to determine the true financial value of a practice. By using a combination of accounting approaches to practice valuation that consider factors such as fair market value, opportunity cost, and discounted cash flow over a defined time period, organizations can more accurately assess a practice's actual value.
authors.affiliation: Maimonides Medical Center, New York, NY, USA.
authors.forename: D
authors.initials: D
authors.lastname: Schwartzben
authors.forename: S A
authors.initials: SA
authors.lastname: Finkler
mesh_terms: D000066:Accounting / Q000379:methods*; D000553:Ambulatory Care / Q000191:economics; D004465:Economic Competition; D005375:Financial Audit / Q000379:methods*; D019981:Health Care Sector; D006801:Humans; D007182:Income; D010067:Ownership; D011216:Practice Management, Medical / Q000191:economics*; D014481:United States