1. Cash on Hand: $13,280

   Owner's Capital: $240,725

   Accounts Payable:

   State Medical Supplies, Inc. $12,540

   Linens ‘N’ Things $550

   All-Med, Co. $1,250

   Utilities $1,110

   Medi, Inc $5,665

   Expenses:

   Program Services $11,500

   Salaries $137,270

   Medical Equipment: $126,355

   Other Assets: $15,000

   Accounts Receivable:

   Patient Accounts $156,275

   Social Security Administration $44,110

   Property/Land: $437,442

   Mortgage: $330,241 (Monthly payment: $8,200)

   Investments: $42,525

   Contributions and Grants: $64,245

2. What is the company’s net assets?

3. Do the company’s assets exceed its total liabilities?

4. What portion of the company’s current assets are reported under cash? Does it appear to have a lot of cash relative to its other assets and liabilities?

5. How much of this company’s cash is tied up in transactions it cannot directly control, such as receivables and payables?

6. How much of the organization’s cash flow is related to sales of goods and inventory? How predictable are those sales?

7. Based on the balance sheet, what is the company’s current financial position?

8. Based on the company’s cash assets, what should it do with the excess cash, if anything?