Edward Hospital $92 Million Accounting Error Discovered

It can go both ways.  Sometime you find you have overestimated your reasonably collectible accounts receivable, and sometimes you can find you have been grossly under estimating the value of your service contracts.  Unfortunately for this hospital group based in Naperville, a huge error was discovered after realizing the reimbursement schedules in their accounting systems were not updated with accurate information.  So, shortly after cutting $50 Million off their operating budget (including employee layoffs), they soon discovered the need for a massive writeoff to their aging.  For the full article, Click Here.

Torrey & Gray has staffed service contract audit projects that have netted our clients over $6 Million in previously unbilled revenue.  In other words, our client was not billing as much as they should have been based on their service contract agreements.  Our temporary accounting staff discovered, billed and collected the money.