3. Equipment purchases. During the past five years, the corporation has acquired a van, a video recorder, a refrigerator, a microwave, and an in-house stereo system. Some items were purchased for cash, and some are still being paid for in installments. None of them was essential to the mission of your corporation.
These decisions, and others like them, have adversely affected the financial status of your dental practice. To solve your practice's financial problems, I recommend the installation of a formal budgetary system. A comprehensive financial plan is needed so that you know where you are going and what you are capable of doing.