Consider the following balance sheet:

BestCare HMO

Balance Sheet

June 30, 2011

(in thousands)

Assets

Current Assets:

Cash $2,737

Net premiums receivable 821

Supplies 387

Total current assets $3,945

Net property and equipment $5,924

Total assets $9,869

Liabilities and Net Assets

Accounts payablemedical

Services $2,145

Accrued expenses 929

Notes payable 382

Total current liabilities $3,456

Long-term debt $4,295

Total liabilities $7,751

Net assetsunrestricted

(equity) $2,118

Total liabilities and net

Assets $9,869

Consider the following financial statements for Green Valley Nursing Home, Inc. a for profit long-term care facility: Green Valley Nursing Home Inc. Balance Sheet December 31, 2011 Assets Current assets: Cash $105,737 Marketable securities 200,000 Net patient accounts receivables 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 Shareholder?s 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 shareholder?s equity $357,842 Total liabilities and shareholders? equity $2,502,992

A. WHAT IS THE PRIMARY DIFFERENCE BETWEEN THESE 2 STATEMENTS

c. What was Green Valley's total debt ratio?*************************************
Current liabilities
LT liabilities
Total liabilities (debt)
Total assets
Total debt ratio