Question
chp 7 exercise B. AUDITED FINANCIAL STATEMENT: BUSINESS FINANCE CALCULATOR WEBSITE: Ratio Analysis (if needed for ratio calculations) http://www.zenwealth.com/businessfinanceonline/RA/RatioCalc.html TO DO: Trend Analysis Case Study
chp 7 exercise B.
AUDITED FINANCIAL STATEMENT:
BUSINESS FINANCE CALCULATOR WEBSITE: Ratio Analysis (if needed for ratio calculations) http://www.zenwealth.com/businessfinanceonline/RA/RatioCalc.html
TO DO: Trend Analysis Case Study & Audited Financial Statement Case Study on the below
Annual Report for SouthSide Hospital, FY 2016
Care, Not Just Cure
Letter from Jack Gilbert, CEO, SouthSide Hospital
Dear Community and Friends,
We are pleased to present the Annual Report for FY 2016 for SouthSide Hospital, now providing its 53rd year of service to the community. This hospital, founded by Dr. Wayne Jones in 1949, has seen tremendous strides in patient care, from penicillin to liver transplants, from patient care in wards to disease management programs that extend to neighborhoods.
We have been able to proceed with the new construction for the Outpatient Services Clinic, to be completed in April, 2004, which will enable us to expand outpatient services and enhance our Pediatric Asthma Care Program.
Our goals for the coming fiscal year include: Outreach programs for womens health, focusing particularly on smoking cessation and breast cancer screening, for underserved populations in the Anywhere Metropolitan Area; Expansion of the Pediatric Asthma Care Program to increase its case management services to an additional 150 families;Develop our Cardiac Care units into an integrated Center of Excellence for the diagnosis and treatment of cardiovascular disorders; Continue to maintain our reputation in the Anywhere community of providing care, not just cure to those we serve.
A review of our FY 2016 financial reports shows our strong and prudent financial focus. We look forward to many more years of service in Anywhere, USA.
Sincerely,
Jack Gilbert
FY 2016 Financial Reports:
Table AR10-1. SouthSide Hospital, Summary Income Statement, $ thousands, FY 2014-2016.
| FY 2014 | FY 2015 | FY 2016 |
| |||
Inpatient Services | $ 126,878 | $ 142,063 | $ 159,577 |
Outpatient Services | $ 52,177 | $ 55,711 | $ 58,530 |
Deductions from Patient Revenue | 128,404 | 144,192 | 161,511 |
Net Patient Revenue | 50,651 | 53,582 | 56,596 |
| |||
Managed Care Revenue | 5,000 | 5,119 | 5,170 |
Other Operating Revenue | 160 | 162 | 163 |
Total Operating Revenue | 55,811 | 58,863 | 61,929 |
| |||
Total Operating Expenses | 51,294 | 53,999 | 56,625 |
| |||
Non-Operating Revenue | 204 | 183 | 174 |
| |||
Net Income | $ 3,253 | $ 3,062 | $ 3,757 |
Table AR10-2. SouthSide Hospital, Summary Balance Sheet, $ thousands, FY 20142016.
| FY 2014 | FY 2015 | FY 2016 |
|
|
|
|
Cash & Marketable Securities | $ 5,888 | $ 7,428 | $ 8,575 |
Accounts Receivable | 3,108 | 3,522 | 3,744 |
Other Current Assets | $ 6,132 | $ 6,194 | $ 6,717 |
Total Current Assets | $ 15,128 | $ 17,144 | $ 19,036 |
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Long-Term Investments | $ 3,683 | $ 3,748 | $ 3,892 |
|
| ||
Net PP&E (Net Fixed Assets) | $ 26,573 | $ 27,319 | $ 27,386 |
|
| ||
Total Assets | $ 46,626 | $ 49,453 | $ 51,556 |
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Total Current Liabilities | $ 8,789 | $ 9,679 | $ 10,133 |
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Long-Term Debt | $ 9,495 | $ 8,370 | $ 6,262 |
|
| ||
Net Assets |
|
| |
Unrestricted | 24,550 | 27,626 | 29,511 |
Restricted | 3,792 | 3,778 | 5,650 |
Total Net Assets | $ 28,342 | $ 31,404 | $ 35,161 |
|
| ||
Total Liabilities & Net Assets | $ 46,626 | $ 49,453 | $ 51,556 |
Table AR10-3. SouthSide Hospital, Summary Statement of Cash Flows, $ thousands, FY 20152016.
| FY 2015 | FY 2016 |
|
|
|
Cash Flows from Operating Activities: | ||
Net Income & Non-Cash Transfers | $ 5,951 | $ 6,707 |
Adjustments to Working Capital: | ||
Changes in Current Assets | 476 | 745 |
Changes in Current Liabilities | 845 | 358 |
Net Cash from Operating Activities | $ 6,320 | $ 6,320 |
| ||
Cash Flows from Investing Activities: | ||
Capital Expenditures (Change in Gross Fixed Assets) | $ (3,608) | $ (2,966) |
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|
|
Cash Flows from Financing Activities: | ||
Change in Notes Payable | 18 | 45 |
Change in Marketable Securities | 142 | 177 |
Change in Long-Term Investments | 65 | 144 |
Change in Long-Term Debt | (1125) | (2108) |
Net Cash from Financing Activities | $ (1,314) | $ (2,384) |
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|
|
Net Change in Cash | $ 1,398 | $ 970 |
Cash at Beginning of Year | $ 1,209 | $ 2,607 |
Cash at End of Year (Cash Balance) | $ 2,607 | $ 3,577 |
Footnotes and Notes:
Charity care totaled $2,678,000 for FY 2014, $2,955,000 for FY 2015 and $3,254,000 for FY 2016.
To the CEO of SouthSide Hospital and the Central City Community:
We have audited the accompanying consolidated financial reports for SouthSide Hospital as of December 31, for the fiscal years 2014, 2015, and 2016. These financial statements are the responsibility of the managers of SouthSide Hospital. Our responsibility is to provide our opinion on these financial statements based on the audits we have completed.
These audits were conducted in accordance with generally accepted auditing standards. These standards require that the audits provide reasonable assurance regarding whether the financial statements are free of material misstatement. We have examined evidence that supports the amounts and disclosures contained in the financial statements, have assessed the accounting principles used and the estimates made by the management, and have evaluated the presentation of these financial statements. We believe that our audits provide a reasonable basis for the opinion that we offer.
In our opinion, the financial statements presented in this annual report present fairly, in all material respects, the financial position of SouthSide Hospital as of December 31 for fiscal years 2014, 2015, and 2016. These statements conform to generally accepted accounting principles.
Thomas Writegood, CPA
Honesty Accounting Services, Inc.
February 21, 2017
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