Below you are provided Ending Balances from 2018 financial statements for your not-for-profit hospital Hint: the below information is necessary for you to complete the assignment. Vulcan Community Hospital Balance Sheet and Operation Statements Cash Accounts Receivable,Net Inventory Prepaid Expense Net Building and Equipment Land Goodwill $ 862,500 $ 86,250 $ 195,500 $ 28,750 $ 235,750 $ 230,000 $ 345,000 Salaries and Benefits Medical Supplies and Drugs 6-325 $ 11,500 5,750 S 17250 $ 805,000 9,200 6,900 Interest Provision for Bad Debts Other Operating Expenses Accounts Payable Wages Payable $ 575,000 $ 402,500 Mortgage Payable $201,250 Unrestricted Temporarily Restricted Permanently Restricted $ 402,500 $ 287,500 $ 115,000 Net Patient Services Revenue Premium Revenue Other Operating Revenue Unrestricted Contributions $ 862,500 $ 172,500 5,750 l Complete the journal entries and corresponding Taccount records that are provided to you in "Journal Entries" woksheet 2 By using the Information provided to you fill out Not-for-Pro fit Ledger including the beginning and ending balances 3 By using the information provided to you and information that you generated in the ledger, prepare your The Balance Sheet and The Income Statement as of December 31 2019 by utilizing templates 4 By using the information provided to you and information that you generated, prepare your Cash Flow statement as of December 31 2019 by utilizing the Statement ofthe Cash Flow Template Hint: Please use the direct method for your Cash Flow Statement 5 Calculate Common Size Ratios for your The Balance Sheet and The Income Statement and interpret the results Hint: Please use the Total Assets as Balance Sheet's denominator and Total Reveneues from Operations as Income Statement's denominator 6 Calculate Liquidty, Solvency, Efficiency and Profitability ratios for your The Balance Sheet and The Income Statement and interpret the results JOURNAL ENTRIES These are the transactions that took place during Fiscal Year 2019 TR. No ENTRIES 1Vulcan Hospital purchased a new piece of medical eguipment for $125,000 cash Debit Credit 2Vulcan Hospital received a 5600,000 donation from Mrs.E.O. The donation has no restrictions. Debit Credit 3Vulcan Hospital purchased a I-year malpractice policy for S180,000 in cash. Debit Credit Vulcan Hospital purchased a 5.year fire insurance policy for $150,000. Debit Credit 5Some patients discharged who used $100,000 ofinventory and whose insurance company was billed S5 00,000. tPatient Services Reve Debit Credit 10 End of year adsa-Ome year fire nsrace used Debit Credit 1End of year adjustment -Malpractice policy insurance used Debit Credit 12 End of year adjustment - One year depreciation ofCT machine purchased by $400,000 in the year. Useful life for CTmachine is 5 years. The salvage value is $25,000- Please use Double Declining Balance depreciation here. Debit Credit 13 $50,000 bills couldn't collect from patients. The bills is reported as bad debt. for Bad Debes Accounts Receivable Debit Credit LEDGER ACCOUNT (1 Liabilities Net Assets VULCAN COMMUNITY HOSPITAL Operating Statement For the Year Ending December 31, 2019 Amount Revenues Net Patient Services Revenue Premium Revenue Other Opcrating Revenue Total Reveneues from Operations Operating Expenses Salaries and Benefits Medical Supplies and Drugs Insurance Depreciation Interest Provision for Bad Debts Other Operating Expenses Total Expenses from Operations Excess of Revenues Over Expenses Unrestricted Contributions Transfer to parents Net Income Common size ratios' comments: VULCAN COMMUNITY HOSPITAL Balance Sheet s of December 31, 2019 ount ount Liabilities Current Assets Cash Accounts Receivable,Net Inventory Prepaid Expense Total Current Assets Current liabilities Accounts Payable Wages Payable Total Current Liabilities Long-term liabilities Mortgage Payable Total Long-term liabilities Total Liabilities Fixed Assets Net Building and Equipment Land Total Fixed Assets Net Assets Unrestricted Permanently Restricted Total Net Assets Goodwill TOTAL ASSETS TOTAL LIABILITIES& NET ASSETS Common size ratios' comments: VULCAN COMMUNITY HOSPITAL Statement of Cash Flows For the Year Ending December 31, 2019 Cash Flows from Operating Activities Collections Payments to Sellers Payments to Employees Insurance Payments Interest Payments Net Cash from Operating Activities Cash Flows from Investing Activities Purchase of New Equipment Net Cash Used for Investing Activities Cash Flows from Financing Activities Payment of mortgage principal Net Cash from Financing Activities NET INCREASE/(DECREASE) IN CASH CASH, BEGINNING OF YEAR CASH, END OF YEAR VULCAN COMMUNITY HOSPITAL FINANCIAL RATIOS Ratios Results omments Current Assets 1 Current Ratio- Current Liabilities Cash + Marketable Securities+ Receivables 2 Quick Ratio Current Liabilities Cash +Marketable Securities 3 Days Cash on Hand Efficiency Ratios Net Accounts Receivable Days in Accounts Receivables- (Net Patient Revenue 365) Account Payable 5 Days in Accounts Payable- Operating Expenses- Depreciation)/365 Current Liabilities 6 Avarage Payment Period- Operating Expenses-Depreciation)/365 Total Revenue 7 Total Asset Turnover Total Asset Solvency Ratios Solvency Ratios Excess of Revenues over Expenses+ Interest Expense 8 Interest Cov erage= Interest Expense Excess of Revenues over Expenses+Interest Expense +Depreciation Expense 9 Debt Service Coverage Interest Expense+Principal Payments Long-term Debt 10 Long-term Debt to Net Assets Net Assets Profitability Ratios Total Net Income 11 Total Margin Total Revenue Excess of Revenues over Expenses 12 Operating Margin Operating Revenue Excess of Revenues over Expenses 13 Return on Assets Total Assets Excess of Revenues over Expenses 14 Return on Net Assets- Assets Below you are provided Ending Balances from 2018 financial statements for your not-for-profit hospital Hint: the below information is necessary for you to complete the assignment. Vulcan Community Hospital Balance Sheet and Operation Statements Cash Accounts Receivable,Net Inventory Prepaid Expense Net Building and Equipment Land Goodwill $ 862,500 $ 86,250 $ 195,500 $ 28,750 $ 235,750 $ 230,000 $ 345,000 Salaries and Benefits Medical Supplies and Drugs 6-325 $ 11,500 5,750 S 17250 $ 805,000 9,200 6,900 Interest Provision for Bad Debts Other Operating Expenses Accounts Payable Wages Payable $ 575,000 $ 402,500 Mortgage Payable $201,250 Unrestricted Temporarily Restricted Permanently Restricted $ 402,500 $ 287,500 $ 115,000 Net Patient Services Revenue Premium Revenue Other Operating Revenue Unrestricted Contributions $ 862,500 $ 172,500 5,750 l Complete the journal entries and corresponding Taccount records that are provided to you in "Journal Entries" woksheet 2 By using the Information provided to you fill out Not-for-Pro fit Ledger including the beginning and ending balances 3 By using the information provided to you and information that you generated in the ledger, prepare your The Balance Sheet and The Income Statement as of December 31 2019 by utilizing templates 4 By using the information provided to you and information that you generated, prepare your Cash Flow statement as of December 31 2019 by utilizing the Statement ofthe Cash Flow Template Hint: Please use the direct method for your Cash Flow Statement 5 Calculate Common Size Ratios for your The Balance Sheet and The Income Statement and interpret the results Hint: Please use the Total Assets as Balance Sheet's denominator and Total Reveneues from Operations as Income Statement's denominator 6 Calculate Liquidty, Solvency, Efficiency and Profitability ratios for your The Balance Sheet and The Income Statement and interpret the results JOURNAL ENTRIES These are the transactions that took place during Fiscal Year 2019 TR. No ENTRIES 1Vulcan Hospital purchased a new piece of medical eguipment for $125,000 cash Debit Credit 2Vulcan Hospital received a 5600,000 donation from Mrs.E.O. The donation has no restrictions. Debit Credit 3Vulcan Hospital purchased a I-year malpractice policy for S180,000 in cash. Debit Credit Vulcan Hospital purchased a 5.year fire insurance policy for $150,000. Debit Credit 5Some patients discharged who used $100,000 ofinventory and whose insurance company was billed S5 00,000. tPatient Services Reve Debit Credit 10 End of year adsa-Ome year fire nsrace used Debit Credit 1End of year adjustment -Malpractice policy insurance used Debit Credit 12 End of year adjustment - One year depreciation ofCT machine purchased by $400,000 in the year. Useful life for CTmachine is 5 years. The salvage value is $25,000- Please use Double Declining Balance depreciation here. Debit Credit 13 $50,000 bills couldn't collect from patients. The bills is reported as bad debt. for Bad Debes Accounts Receivable Debit Credit LEDGER ACCOUNT (1 Liabilities Net Assets VULCAN COMMUNITY HOSPITAL Operating Statement For the Year Ending December 31, 2019 Amount Revenues Net Patient Services Revenue Premium Revenue Other Opcrating Revenue Total Reveneues from Operations Operating Expenses Salaries and Benefits Medical Supplies and Drugs Insurance Depreciation Interest Provision for Bad Debts Other Operating Expenses Total Expenses from Operations Excess of Revenues Over Expenses Unrestricted Contributions Transfer to parents Net Income Common size ratios' comments: VULCAN COMMUNITY HOSPITAL Balance Sheet s of December 31, 2019 ount ount Liabilities Current Assets Cash Accounts Receivable,Net Inventory Prepaid Expense Total Current Assets Current liabilities Accounts Payable Wages Payable Total Current Liabilities Long-term liabilities Mortgage Payable Total Long-term liabilities Total Liabilities Fixed Assets Net Building and Equipment Land Total Fixed Assets Net Assets Unrestricted Permanently Restricted Total Net Assets Goodwill TOTAL ASSETS TOTAL LIABILITIES& NET ASSETS Common size ratios' comments: VULCAN COMMUNITY HOSPITAL Statement of Cash Flows For the Year Ending December 31, 2019 Cash Flows from Operating Activities Collections Payments to Sellers Payments to Employees Insurance Payments Interest Payments Net Cash from Operating Activities Cash Flows from Investing Activities Purchase of New Equipment Net Cash Used for Investing Activities Cash Flows from Financing Activities Payment of mortgage principal Net Cash from Financing Activities NET INCREASE/(DECREASE) IN CASH CASH, BEGINNING OF YEAR CASH, END OF YEAR VULCAN COMMUNITY HOSPITAL FINANCIAL RATIOS Ratios Results omments Current Assets 1 Current Ratio- Current Liabilities Cash + Marketable Securities+ Receivables 2 Quick Ratio Current Liabilities Cash +Marketable Securities 3 Days Cash on Hand Efficiency Ratios Net Accounts Receivable Days in Accounts Receivables- (Net Patient Revenue 365) Account Payable 5 Days in Accounts Payable- Operating Expenses- Depreciation)/365 Current Liabilities 6 Avarage Payment Period- Operating Expenses-Depreciation)/365 Total Revenue 7 Total Asset Turnover Total Asset Solvency Ratios Solvency Ratios Excess of Revenues over Expenses+ Interest Expense 8 Interest Cov erage= Interest Expense Excess of Revenues over Expenses+Interest Expense +Depreciation Expense 9 Debt Service Coverage Interest Expense+Principal Payments Long-term Debt 10 Long-term Debt to Net Assets Net Assets Profitability Ratios Total Net Income 11 Total Margin Total Revenue Excess of Revenues over Expenses 12 Operating Margin Operating Revenue Excess of Revenues over Expenses 13 Return on Assets Total Assets Excess of Revenues over Expenses 14 Return on Net Assets- Assets