Explain the methodologies and processes used in preparing budgets for health care organizations

OBayside Memorial Hospital is considering purchasing a new MRI machine. Based on
the cash flow analysis above would you recommend that the healthcare facility,
Bayside Memorial Hospital, purchase an MRI machine? In your analysis please review
the following concepts: incremental cash flow, sunk cost, opportunity cost, strategic
value, inflation effects. (These are the assignment instructions, allowing students to
master the key components of the rubric including : Describe the key components of a
financial plan define financial and strategic planning; explain the difference between a
simple budget and a flexible budget; and describe the use of variance analysis in the
budget creation process-