Doctor Williams Is Having Trouble Making Ends Meet

Multiple Choice

Doctor Williams is having trouble making ends meet. More often than not, his patients are covered by private insurers who tend to take a long time to settle the bills. His liquidity position has been deteriorating rapidly and he may need to choose between layoffs or closing the doors. How can he better manage his accounts receivables?

A) He should forget about layoffs, and hire more staff to handle the insurance claims.
B) He should decrease the overhead costs by moving to a smaller facility with less expensive rent.
C) He should consider contracting a factor to handle outstanding payments.
D) He should charge extremely high consultation fees and deny treatment to those who don't pay.