Calculate and interpret the following ratios:
				Industry average
	Return on assets (ROA)			5.2%
	Current ratio			2.0
	Days cash on hand			22 days
	Average collection period			19 days
	Debt ratio			71%
	Debt-to-equity ratio			2.5
	Times interest earned (TIE) ratio			2.6
	Fixed asset turnover ratio			1.4

	Statement of Income and Retained Earnings
			Year Ended December 31, 2XXX
Revenue:
Net patient service revenue				$3,163,258
Other revenue				$106,146
Total revenues				$3,269,404
Expenses:
Salaries and benefits				$1,515,438
Medical supplies and drugs				$966,781
Insurance and other				$296,357
Bad Debt				$110,000
Depreciation				$85,000
Interest				$206,780
Total expenses				$3,180,356
Operating income				$89,048
Provision for income taxes				$31,167
Net income				$57,881
Retained earnings, beginning of year				$199,961
Retained earnings, end of year				$257,842
			Green Valley Nursing Home, Inc.
			Balance Sheet
			Year Ended December 31, 2XXX
Assets
Current assets:
Cash				$105,737
Marketable securities				$200,000
Net patient accounts receivable				$215,600
Supplies				$87,655
Total current assets				$608,992
Property and equipment				$2,250,000
Less accumulated depreciation				$356,000
Net property and equipment				$1,894,000
Total assets				$2,502,992
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable				$72,250
Accrued expenses				$192,900
Notes payable				$100,000
Current portion of long-term debt				$80,000
Total current liabilities				$445,150
Long-term debt				$1,700,000
Shareholders' equity:
Common stock, $10 par value				$100,000
Retained earnings				$257,842
Total shareholders' equity				$357,842
Total liabilities and shareholders' equity				$2,502,992